WEDNESDAY, AUGUST 28, 2013

Is it time to break up some of these big banks into more manageable and more readily regulated entities? Banks provide legal feast for litigators 

Part of the problem with these huge banking entities is the concept "too big to fail", an implicit FRS policy that promotes the moral hazard of risk-free loans to dubious enterprises that in turn leads to financial crises like the savings and loan industry of the late '80's, and the more recent mortgage industry collapse.  In both cases banks were financing independent investment banks as well as their own in riskier and riskier bets on mortgages with the blessing and support of the government.