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Forget about "too big to fail".
The crisis was mostly about runs, not about too big to fail.
The Dallas Federal Reserve Bank president, Richard W. Fisher, has again reignited the debate about what to do about "too big to fail" banks.
6.57pm GMT Bernanke: 'I don't think too big to fail is solved now' Bernanke talks about too big to fail, the trap by which taxpayers are stuck with bailing out reckless big banks whose collapse would threaten the entire economy.
Set aside, for the moment, fears about "too big to fail": Johnson writes that behemoths like J. P. Morgan offer no compensating benefits for the added risk of their size; indeed, he sees "no evidence for economies of scale or scope — or other social benefits".
WALL STREET JOURNAL A Warning From Merrill's Former Leader | John A. Thain, former chief executive of Merrill Lynch, who now runs the CIT Group, told Bloomberg TV: "If you are asking about too big to fail and can what happened in 2008 could happen again, the answer is yes, it absolutely can happen again.
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We have to talk about too-big-to-fail banks that continued to be subsidised by the state to the tune of £38bn per year.
If prosecutors had already claimed a prominent scalp from the financial crisis, there wouldn't be such a loud conversation about too-big-to-jail.
But the spirit of free enterprise he admired was less about too-big-to-fail outfits than about small ones: bakers and butchers and tillers of the soil.
The official was Richard W. Fisher, the president of the Federal Reserve Bank of Dallas and a longstanding truth-teller about too-big-to-fail banks.
About too many big issues.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com