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How banks got "too big to fail"
Sep 11, 2018

How banks got "too big to fail"

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The phrase "too big to fail" is closely associated with the financial crisis of a decade ago, and it was used as a justification for government bailouts. It wasn't always this way. There was a time when most banks were small, and they liked it that way. Today, just six banks manage more than half the assets in the entire U.S. banking industry. We'll trace how it happened, and talk to the owner of a very different "Lehman" business about what it was like living through 2008. Plus, we'll answer more listener questions about trade and take a look at just how well FEMA's prepared for hurricane season.

Segments From this episode

Once "too small to thrive," now some banks are "too big to fail"

Sep 11, 2018
There was a time when most banks were small. They liked it that way. Today, just six banks manage more than half the assets in the entire U.S. banking industry.
Chris Hondros/Getty Images

Steel workers press steelmakers on wages and health care costs, with a strike authorization vote

Sep 11, 2018
The vote comes as U.S. Steel and ArcelorMittal are in union contract negotiations.
Sean Gallup/Getty Images

The phrase “too big to fail” is closely associated with the financial crisis of a decade ago, and it was used as a justification for government bailouts. It wasn’t always this way. There was a time when most banks were small, and they liked it that way. Today, just six banks manage more than half the assets in the entire U.S. banking industry. We’ll trace how it happened, and talk to the owner of a very different “Lehman” business about what it was like living through 2008. Plus, we’ll answer more listener questions about trade and take a look at just how well FEMA’s prepared for hurricane season.

Music from the episode

Coffin Nails MF DOOM
Dans Le Noir Dark Rooms
Do I Wanna Know? Arctic Monkeys
Heard 'Em Say Kanye West, Adam Levine