Full title:
The World’s Biggest Banks May Very Well Grow Even Larger, if a new Federal Reserve proposal goes through.
Too bad FR does not have a “stupidity” topic, which would fit what the Federal Reserve is trying to do here.
“There are better solutions for regulators to consider, some of which Hoenig mentioned in his speech. Kashkari also proffered solutions on Feb. 16. He said the banks need to be broken up or consider other “transformational options†to prevent “widespread economic collapse.â€
During the 30s, thousands of tiny banks went broke at the same time, causing widespread economic collapse.
My late father warned of this even in the 80’s. Same with SWAT teams (in big cities at the time). He was conservative/libertarian before his time. Business owner as well.
These are very complex proposals.
I suggest that everyone read Hoenig’s remarks to gain a better insight into what is being proposed:
https://www.fdic.gov/news/news/speeches/spjan2016.html
If you don’t understand what he’s talking about, then maybe this topic isn’t for you!
Re authorize Glass-Stiegal. Increase equity and liquidity requirements. That will do much to handle the matter.