The Atlantic takes on the “Too Big To Fail” argument today and seems to reach the conclusion that financial institutions can be systemically important without being large and thus the entire discussion about downsizing the banks is moot. Here is the author’s (his or her byline is Economics of Contempt) conclusion: The point is that […]

If you have any interest in the debate about whether we should continue to allow “too big to fail” banks or break them up then here are a couple links to some good discussion on the topic. John Hempton argues that we should follow the Australian/Canadian model and create very big, lazy banks that make […]