If the taxpayers are going to be liable for the risks taken by banks when they risks go bad, then the taxpayers have the right to limit the amount of risk that the banks are taking.
“If the taxpayers are going to be liable for the risks taken by banks when they risks go bad, then the taxpayers have the right to limit the amount of risk that the banks are taking.”
You are correct.
How are taxpayers liable?
then the taxpayers have the right to limit the amount of risk that the banks are taking.
Those darn banks wrote too many mortgages. We need to limit the mortgages the government forces them to write.
If the taxpayers are going to...regulate, control, order, politicize banks and interest rates... then when risks go bad, then taxpayers have the right duty to be liable.
Did anybody bail out a private, unregulated hedge fund? Not a single one. Zero. Zip. Nada. That kind of tells you something. Unregulated, free actors survived ( or didn't) but were not burdens to others. But the massively regulated, controlled banks got bailed out. Kind of like...oh GM. Or AMTRACK. Or Chrysler, or farmers...