Federal regulators are warning of five major bank bailouts out of eight financial institutions that are allegedly too big to fail.
The fact is, if any one of these institutions collapsed, it would trigger the recession to get much worse much sooner.
If they are too big to fail, then the government must be very careful to do nothing to cause investors to lose confidence in them. The banks have every reason to believe that the government is too afraid of the economic consequences to ever seriously penalize them.
Read more at Constitution.com