TITLE

The myth of too big to fail

AUTHOR(S)
Moosa, Imad
PUB. DATE
September 2010
SOURCE
Journal of Banking Regulation;Sep2010, Vol. 11 Issue 4, p319
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
Too big to fail (TBTF) is a doctrine stipulating that big firms (particularly financial institutions) cannot be allowed to fail because of the potential adverse impact the failure may have on the rest of the sector and the economy at large. When they are in trouble, financial institutions utilise the language of fear to demand the privilege of TBTF at a significant cost to taxpayers. From the perspective of costs and benefits, the TBTF doctrine must go the way of the dinosaurs.
ACCESSION #
54083898

 

Related Articles

  • CORPORATE GOVERNANCE ISSUES: ESTIMATIVE SOLUTIONS FOR THE WORLD FINANCIAL CRISIS. SERBAN, Claudia; TIRON - TUDOR, Adriana; MAN, Mariana; CRETU, Raluca; VASILE, Cristina // Annals of DAAAM & Proceedings;Jan2009, p889 

    In the midst of a crisis, no one knows how far an economy will drop or for how long. But capitalism, since its beginning, has been marked by crises; each time, the economy recovers, but each crisis carries its own lessons. Our attempt is to draw the unprecedented government bailout of financial...

  • A General Motors works council’s response to the capitalist global financial crisis: A case study from Germany. Klikauer, Thomas // Capital & Class;Jun2012, Vol. 36 Issue 2, p303 

    The 2008-2009 global financial crisis (GFC) has negatively impacted on banks, financial institutions and companies such as General Motors (GM), bringing the latter’s European subsidiary close to insolvency and highlighting some of the US car manufacturer’s long-term problems, which...

  • THE GLOBAL CAPITALIST CRISIS: Whose Crisis, Who Profits? Petras, James; Veltmeyer, Henry // International Review of Modern Sociology;Autumn2012, Vol. 38 Issue 2, p199 

    With the onset of the so-called 'global financial crisis' in 2008 the world capitalist system suffered a shock that shook its very foundations, threatening the functioning of key financial institutions and the economies at the center of the system. Hoiuever, the crisis merely served to...

  • The Big Steal. Carter, Graydon // Vanity Fair;Jun2010, Issue 598, p42 

    This article discusses the behavior of the financial institutions that were bailed out by money from the U.S. government and U.S. taxpayers during the financial crisis of 2008-2009. The author notes that many people believe that these financial institutions recovered too fast and are reaping the...

  • Crisis watch. Ford, Jonathan // Prospect;Jul2010, Issue 172, p14 

    The article offers the author's insights on the importance of the collaboration between governments and major financial institutions in addressing financial crises and recessions. He tackles how bailouts in financial institutions such as in the U.S. alleviated the global recession and worsened...

  • RÉPARER APRÈS LA CRISE: D'ABORD SORTIR DE LA CONFUSION. Lévy-Garboua, Vivien // Revue d'Économie Financière;nov2009, Vol. 95, p367 

    What is to be done so that the financial crisis that shook the world in 2008 does not reappear? To answer this question the author tries to get out from the present confusion. Having noticed that for more than fifteen years the banking activity has been more and more subject to financiarisation,...

  • Re-enactment of the Glass -- Steagall Act 1933: is this a step in the right direction for global financial reform? Lopes, Jacqueline // Law & Financial Markets Review;Jul2010, Vol. 4 Issue 4, p428 

    In the wake of the 2008 financial crisis, much controversy has ensued over the provision of guarantees and bailouts to institutions considered "too big to fail". To address this problem and avert future financial crises, the US agreed to sign into lawa Financial Reform Bill by the 4 July 2010,...

  • EL RESCATE BANCARIO: IMPORTANCIA Y EFECTOS SOBRE ALGUNOS SISTEMAS FINANCIEROS AFECTADOS. Calvo Bernardino, Antonio; de Vidales Carrasco, Irene Martín // Revista de Economía Mundial;2014, Issue 37, p125 

    The objective of this article is to perform an analysis of the impact that the grave financial crisis has had that, since the latter part of 2008, has ravaged over the credit systems of some countries that have required a bailout of their banking systems; concretely, for Spain, Germany, Ireland,...

  • FINANCE WITHOUT FINANCIERS. Epstein, Gerald; Plihon, Dominique; Giannola, Adriano; Weller, Christian // Papeles de Europa;2009, Issue 19, p140 

    In response to the financial crisis of 2007 - 2009, governments in the United States, Europe and elsewhere have invested billions of dollars in financial institutions to prevent them from going bankrupt and from further disrupting the global economy. Despite these massive public bail-outs, a...

Share

Read the Article

Courtesy of NEW JERSEY STATE LIBRARY

Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics