Why it makes sense to break the megabanks
Posted by Stephen Cline on April 16th, 2010There are a lot of people who feel that in the light of the global financial crisis, there should be a move against megabanks in the US. This is because of the fact that the megabanks have been quite adept at spreading a lot of viruses in the global financial system which has had bad effects on the financial world at large around the globe. This is why it is so scary that there are some banks that have become ‘ too big to fail’ which means that irrespective of what these banks do, governments are willing to bail them out and put up with all kind of malpractices as well as failings, both deliberate as well as accidental. This is quite unacceptable and must be countered at all costs.
It seems as if the banks have started becoming too big and this is especially so in the last two decades when the banks have become too big to fail. The rules and regulations that exist are not quite up to the mark in terms of the challenges that these monolithic structures seem to pose. This is why the new financial world order should take care of these concerns and actively regulate these banks to stop any malpractices as well as problems.