Will a Failed Megabank Be Liquidated? Don’t Bet On It
A vast literature has arisen discussing the tortured issue of taxpayer-funded bail-outs and the intimately related concept of ‘Too Big to Fail’ (TBTF). The idea behind it is relatively simple. TBTF describes a financial institution whose failure would cause such a tremendous level of harm to the economy that the responsible government will attempt to… Read More »
