Spitzer article in Slate on "too big to fail"

It's too bad his personal peccadilloes brought him down.
He makes some interesting observations about restructuring the banking industry.

 

Sorry. I can't respond to this thread without putting it in POLITICS.

 

Most of Spitzer's commentary is pretty obvious. But the idea of atomizing the financial industry is certainly interesting. The bank that Sandy works for is so sound it is now a very attractive takeover candidate. Of course chances are if it is gobbled up it will be by a much larger and less solid enterprise.

I can see this happening throughout the industry...sort of a corporate version of Gresham's Law as good conservative (ooops, there's that word) institutions disappear into the maws of much larger but less stable companies.

The quickest fix? Go back to a ban on interstate banking. And reinstitute the old rules that limit financial companies to a single primary line of business, i.e.: commercial banking, brokerage, underwriting, etc.

 

You can thank you know who for changing that rule

 

Spitzer an expert on banking? Well, at least he knows how to make a deposit!