The banks were “too big to fail” before the 2008 crash. Do you know those same banks are even bigger today?
According to data compiled by Capital IQ, JP Morgan had assets of $1.3 trillion before the crash, now it has $2.3 Trillion. BofA went from $1.4T to $2.2T, Citi from $1.8T to $1.9T and Wells Fargo from $0.5T to $1.3T.
These four banks have the equivalent of more than half the entire output of the U.S. economy of $14.4 Trillion! That’s just too risky for the fiscal health of the country.
The U.S. government had no choice but to bail out the banks. Had they not done so the economic catastrophe in this country would probably have been at least as bad as that of the Great Depression. Sometimes you can learn from history. Why aren’t we learning from this piece of recent and painful history by allowing these … Read More