AEIdeas

The public policy blog of the American Enterprise Institute

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Discussion: (1 comment)

  1. Wayne Abernathy

    In fact, Bernanke was effectively pouring cold water over the simplistic approaches to dealing with TBTF. He went to great lengths to emphasize the variety of tools that are being used to address the concern and how they all interact. He said that after that process was completed, “we will see if we are comfortable at that point when that is all done if we believe that the ‘too big to fail’ problem has been solved.” He never even hinted at “dramatically higher capital levels,” probably because he knows how contractionary that would be for the economy.

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