Too Big to Fail!

I have referenced my appreciation of Simon Johnson's opinions regarding the need to control the size of banks. As he often states, the matter is worse now than ever since there are only three banks that control such a high amount of total assets.

One of Fed Governors, Thomas Hoenig has zoned in on this issue several times. Now, in another op-ed column in which there is a link to Hoenig's recent column, William Black provides his insights for supporting the same claim.

As big as the three banks are now, they intend to get bigger! A recent NY Times Magazine, Jamie Dimon states that the objective of a bigger banks is good for our economy! In spite of all the recent history, he is convinced that severe problems will never reemerge.

I wanted that Financial Reform legislation to require limits on the size of the assets any one bank could hold as well as separate commercial and investment banking. It appears that we need another crisis to see the wisdom of so many who advocate for limiting the size of banks.