Death to Too Big to Fail

ORLANDO — When Federal Reserve Board Chairman Ben Bernanke spoke to thousands of community bankers here last week, he received a standing “O” for his pounding of financial firms deemed “too big to fail.”

This, from a group not exactly noted for being rowdy and raucus.
Calling the huge financial firms labeled “too big to fail” a “pernicious problem” and “insidious,” Bernanke fired a broadside at the institutions and rules that allowed them to fly freely and then fall back on taxpayer bailouts to remain alive.

“It's unconscionable that the fate of the world economy would be tied to the fortunes of a few giant financial firms,” he told thousands of community bankers at the annual Independent Community Bankers of America conference.