Bogey: we are not alone.

[Neutron Monster]

The big banks aren't monopolies.

The real risk of the mega banks is that they pose a systemic risk to the economy if something goes wrong. Substantively, the government can't let those banks fail. That means that, not only do the customers of the core bank receive government protection (i.e. via the FDIC), but the non-insured customers ALSO receive government protection (such as counterparties to investment banking transactions).

Given this special benefit, these banks deserve special regulation and careful consideration.

I think they need more strigent capital requirements and they should be paying insurance premiums to the FDIC and other government bodies which reflect all of their liabilities, not just those normally insured. Dodd-Frank was right on this.

There are some pros to having megabanks - the government/Fed was able to use the megabank structures to manage the 2008 downturn (it used Citi, B of A, Wells Fargo, JPM, and other holding cos as entities which it could keep solvent no matter what.) And these banks are likely able to leverage economies of scale better than smaller banks.

As for breaking them up, I don't think that's as important as making sure the overall system has enough capital and enough oversight.

 

[Neutron Monster]

Further, it's not like bankers are the only lobbying group with way too much power; reforms shouldn't be targeted just at their lobbyists.

 

[Neutron Monster]

Also glass-steagall didn't have a limit on the size of a bank, just on the activities a bank could do. It wouldn't lower the amount of deposits held by JPM, B of A, etc.

 

[Kenny56]

Barack and Hillary both drive the worst voters in America nuts. It's not a reason to vote for them but it is pretty fun when they win.

Yes, the better voters are the ones voting for Barack because he is black. Or Shillary because she is a female.

Everything that witch touches is left smoking.

I don't see a viable candidate on the Republican side outside of my boy Rand, but he has no shot. Shillary getting elected may not be the worst thing. Could be the final straw to break the camels back.

 

[Neutron Monster]

Obama's black support is like the evangelicals coming out for Santorum or Huckabee. It's a rational decision by voters to support a candidate who is one of their own.

Does Hillary being a woman really matter that much? It didn't get her a win in 2008 in the D primary where nearly 60% of the voters are women. I think this is overstated relative to the general D bias of women voters.