Breaking Up The Banks
Banks and other financial institutions deemed “too big to fail” engaged in wild speculation, secure in the knowledge that they would be backstopped by federal support. These behemoths helped generate the crisis by leveraging their political power to peel back the regulatory restraints on Wall Street. Now, thanks to a series of shotgun mergers, the banks are bigger than ever.
The giant banking firms should be broken up. The creation of too-big-to-fail financial institutions was a key factor in the financial crisis of 2008, and addressing the too-big-to-fail problem is a central challenge going forward. Too big to fail is too big to exist. Take action now or learn more about the financial reform we need now.