The main lesson of [the bailouts] is that society cannot permit the existence of private institutions that are too large to fail. And that’s not only because they might eventually fail and then we are on the hook for their liabilities. It’s also because the lesson of the bailouts — both the auto and banking bailouts — is that you desperately want to become too big to fail. You get better terms from the government. You’re protected from bankruptcy and insolvency. You have tremendous access to the halls of power. You get a seat at the bargaining table rather than before the bankruptcy judge. Reaching “too big to fail” status is like being kinged in checkers. The rules give you special powers and subsidies. Now that those advantages have been exposed, companies will have much more obvious incentives to chase size. Unless, of course, we stop them.
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Twitter
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Why We Worry: RT @JesseLehrich: HOWARD SCHULTZ: I’m not doing this for me, I’m doing it for America. AMERICA: sir, your logo is your name with your name…
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Why We Worry: Jared Kushner advocated firing Comey and embracing MBS. He has a security clearance despite being deeply compromise… https://t.co/XJmsQVBJhh
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Why We Worry: RT @joshtpm: Trump: The grocery store will float you the food on credit until the shutdown is over. That's how it works. https://t.co/3oSNt…
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Why We Worry: .@morningmika said today that Democrats should give Trump the money for his wall. They should "go high" and "seek c… https://t.co/nKhckKD3LF
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Why We Worry: RT @ReichlinMelnick: Here's how the "compromise" bill shreds our asylum laws: 1. Bans asylum for all Central American Minors (including th…
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Why We Worry: RT @amyfiscus: NEW: The FBI began investigating whether Trump was secretly working on behalf of Russia after he fired Comey. Mueller took o…
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Why We Worry: I'm gonna need C-SPAN Prime to follow all of the checks and balances action in 2019. #116thCongress #SpeakerPelosi
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Why We Worry: RT @SwedeofNorfolk: @PreetBharara @theNFLton I will shut down the government I am proud to shut down the government I will be the one to…
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Why We Worry: RT @coolghost101: More shocking images from Astoria. #Queens https://t.co/lUuNdhsTSO
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Why We Worry: Cracks are widening between Trump and the GOP Senate. This article has rare public criticism of the president from… https://t.co/wPrldAE7wQ
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Why We Worry: "So long as Mattis stayed on the job, Republicans in Congress could indulge the hope that responsible people remain… https://t.co/MIv4bkX3XD
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Why We Worry: RT @Elizabeth_McLau: Defense Secretary James Mattis has resigned. Here’s the letter: https://t.co/e2PulyXpXZ
3 Comments
Sorry about the short article… feeling pretty sick today.
By the way, Derek Fisher should definitely get suspended, but not Kobe or Artest.
Well, you desperately want to be big and have everyone else in your industry acting equally irresponsibly, so that if you fail, your whole industry goes with you.
Yes, and now my friends, my company has positioned itself to TAKE OVER THE WORLD!!! Muhahahaha. Financial irresponsibility shall be ours!