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 M¢25  Funded By Mahalo ? |  February 26, 2009 02:18 PM

Bail/Consolidate? Fail/FDIC? Which is better?

When banks fail, FDIC has to pick up the tab. However, bank consolidation reduces risk to FDIC. Bail/Consolidate? Fail/FDIC? Which is better?
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March 15, 2009 04:33 AM
I think that it depends on the given situation. I think that in the future the consolidation that has gone on in the past needs to stop. The mergers have provided us with huge banks that now 'cannot fail' which we are now forced to bailout. Limiting the size of these banks will reduce this future risk. The FDIC will look for buyers for failing banks as part of their process.


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