If a major corporation with tens of thousands of employees has to worry about the stability of its banks, then the entire banking industry will change dramatically. Only large banks will survive. And even then, many major companies will decide to set up their own banks, and their employees will all be forced to do business with the company bank.
It's kind of funny how the same people that complain here on FR about the U.S. banking system getting shrunk down to 4-5 major banks are the same ones who complain that the U.S. government shouldn't bail banks out ... when the refusal to bail out smaller banks is only going to accelerate that trend.
I am not expert (that goes without saying), but I suggest that there COULD be a free market solution. Ford deals with a bank, but also pays an insurance premium that with some large banking/insurance concern that kicks in if the original bank fails. No government fingerprints necessary. The insurer would have all the incentive in the world to keep tabs on the bank in question. Again, not perfect, but preferable to the government’s involvement. At least IMHO...
It’s kind of funny how the same people that complain here on FR about the U.S. banking system getting shrunk down to 4-5 major banks are the same ones who complain that the U.S. government shouldn’t bail banks out
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Conservatives want to reduce barriers to entry and regulations to have more and better businesses. It’s stupid to suggest that means one wants bailouts.