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View Diary: Sen. Bernie Sanders to Introduce Bill to Break Up Too Big To Fail Banks (99 comments)

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  •  Thank you, ericlewis (15+ / 0-)

    I will call.

    Bernie Sanders, the People's Senator!

    And after 5 years of TBTF and other banking problems.....
    1 out of 10 FDIC banks remain on the problem bank list.

    Number of Banks on FDIC Problem Bank List Remains Historically High

        Prior to the financial crisis, the number of problem banks was relatively insignificant compared to the total number of FDIC insured banks.  Today, more than five years after the financial crisis began, almost one out of every ten FDIC insured institutions remain on the problem bank list.

    "Who are these men who really run this land? And why do they run it with such a thoughtless hand?" David Crosby

    by allenjo on Thu Mar 28, 2013 at 02:57:13 PM PDT

    •  My question about that: (5+ / 0-)

      Are ten percent of FDIC insured institutions on the "problem bank list," due to their size or because of the combination of out of control mergers along with weakened regulation?

      These entities need to be broken up, true. I think their practices are too often reckless and create a danger for the rest of us.

      I would make a comparison to reasonable building codes; they can regulate both the size as well as the design of allowed structures. Despite the regular grumbling about building codes we all share an interest in not having public (or even private) structures collapse.

      Same as the economic system in some ways, isn't it?

      It matters not how small the beginning may seem to be: what is once well done is done forever. Henry David Thoreau, in Civil Disobedience

      by Had Enough Right Wing BS on Thu Mar 28, 2013 at 05:01:13 PM PDT

      [ Parent ]

      •  Codes on smaller structures can be more relaxed (6+ / 0-)

        And smaller structures are inherently more stable than larger ones.  

        From such crooked wood as that which man is made of, nothing straight can be fashioned. -Immanuel Kant

        by Nellebracht on Thu Mar 28, 2013 at 05:48:54 PM PDT

        [ Parent ]

        •  maybe that's where my analogy breaks down, (3+ / 0-)

          just as a smaller home may be more stable than a large one, a skyscraper might be even more stable than either--if it's well designed.

          One of the reasons I think we need to focus as much effort on regulating financial institutions conduct as we do on controlling their size is that TBTF also makes them too big to not notice; their very vastness makes it harder for them to hide their recklessness or other behaviors. Of course that does also allow them to act with impunity.

          It's too easy for me to imagine the TBTF's continuing the same actions that have cost us all (except them) so much. If we only focus on their size we might make it harder to find the worst offenders. Forests and trees, etc.

          I don't think it should be an either/or situation, though: We need to both "right-size" [sorry, I love to trot the right-wingers rhetoric out sometimes--with my own spin, of course!] these institutions as well as require that they function in a manner less dangerous for all of us.

          It matters not how small the beginning may seem to be: what is once well done is done forever. Henry David Thoreau, in Civil Disobedience

          by Had Enough Right Wing BS on Thu Mar 28, 2013 at 06:22:35 PM PDT

          [ Parent ]

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