Posted by: samhenry | September 24, 2009

Frank and Geithner Address “Too Big to Fail”Problem – What? Not Feed a 600 Pound Gorilla?

from SamHenry, editor

Financial Times

The Treasury’s desire to prevent large, failing financial companies such as Lehman Brothers and AIG from threatening the entire system has sparked fears that “too big to fail” companies will benefit from lower borrowing costs because they are implicitly protected by the government.

But Mr Geithner said at a hearing of the House financial services committee there would be no public list of so-called tier one financial holding companies, and that they would be constrained by close Fed supervision and tough capital requirements.

VotingFemale Speaks!

Advertisements

Categories

%d bloggers like this: