{"id":8459,"date":"2013-09-22T22:13:45","date_gmt":"2013-09-23T02:13:45","guid":{"rendered":"http:\/\/goldstocksforex.com\/?p=8459"},"modified":"2013-09-22T22:13:45","modified_gmt":"2013-09-23T02:13:45","slug":"emperors-of-banking-have-no-clothes-bloomberg","status":"publish","type":"post","link":"https:\/\/thepatientinvestor.com\/index.php\/2013\/09\/22\/emperors-of-banking-have-no-clothes-bloomberg\/","title":{"rendered":"Emperors of Banking Have No Clothes | Bloomberg"},"content":{"rendered":"
\n

The too-big-to-fail problem for banks is greater today than it was in 2008. Since then, the largest U.S. banks have become much larger. On March 31, 2012, the debt of JPMorgan Chase was valued at $2.13 trillion and that of Bank of America Corp. at $1.95 trillion, more than three times the debt of Lehman Brothers Holdings Inc. The debt of the five largest U.S. banks totals about $8 trillion. These figures would be even larger under European accounting rules.<\/p>\n<\/blockquote>\n

By Anat Admati & Martin Hellwig<\/p>\n

Read more at Emperors of Banking Have No Clothes – Bloomberg<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

The too-big-to-fail problem for banks is greater today than it was in 2008. Since then, the largest U.S. banks have become much larger. On March 31, 2012, the debt of JPMorgan Chase was valued at $2.13 trillion and that of Bank of America Corp. at $1.95 trillion, more than three times the debt of Lehman … <\/p>\n

Continue reading “Emperors of Banking Have No Clothes | Bloomberg”<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[31,34],"tags":[348,2089,3434],"class_list":["post-8459","post","type-post","status-publish","format-standard","hentry","category-the-fed-banks-interest-rates","category-us-canada-countries-regions","tag-bank-capital-ratios","tag-leverage","tag-too-big-to-fail"],"yoast_head":"\nEmperors of Banking Have No Clothes | Bloomberg - the patient investor<\/title>\n<meta name=\"robots\" content=\"noindex, follow\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Emperors of Banking Have No Clothes | Bloomberg - the patient investor\" \/>\n<meta property=\"og:description\" content=\"The too-big-to-fail problem for banks is greater today than it was in 2008. Since then, the largest U.S. banks have become much larger. 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The fractional reserve banking system is the primary cause of instability and asset bubbles in the global economy, allowing banks to create money out of thin air. Credit expansion above the rate of real GDP growth has only two possible\u2026","rel":"","context":"In "Banks & Interest Rates"","block_context":{"text":"Banks & Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":8298,"url":"https:\/\/thepatientinvestor.com\/index.php\/2013\/08\/19\/bloated-business-of-banking-the-australian\/","url_meta":{"origin":8459,"position":2},"title":"Bloated business of banking | The Australian","author":"ColinTwiggs","date":"August 19, 2013","format":false,"excerpt":"Adam Creighton discusses the likelihood of taxpayers being asked to bail out too-big-to-fail banks. In Australia that probability is now 100 per cent. Standard & Poor's, a ratings agency, gives Australia's biggest four banks a AA rating explicitly because taxpayers will provide \"extraordinary support\" to their creditors in any crisis,\u2026","rel":"","context":"In "Australia & NZ"","block_context":{"text":"Australia & NZ","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/countries-regions\/australia-nz-countries-regions\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6219,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/11\/18\/shadow-banking-grows-to-67-trillion-industry-regulators-say-bloomberg\/","url_meta":{"origin":8459,"position":3},"title":"Shadow Banking Grows to $67 Trillion Industry, Regulators Say – Bloomberg","author":"Colin Twiggs","date":"November 18, 2012","format":false,"excerpt":"Ben Moshinsky and Jim Brunsden write: The size [$67 trillion] of the shadow banking system, which includes the activities of money market funds, monoline insurers and off- balance sheet investment vehicles, \u201ccan create systemic risks\u201d and \u201camplify market reactions when market liquidity is scarce,\u201d the Financial Stability Board said in\u2026","rel":"","context":"In "Banks & Interest Rates"","block_context":{"text":"Banks & Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5392,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/09\/05\/simon-johnson-why-are-the-big-banks-suddenly-afraid-nytimes-com\/","url_meta":{"origin":8459,"position":4},"title":"Simon Johnson: Why Are the Big Banks Suddenly Afraid? – NYTimes.com","author":"Colin Twiggs","date":"September 5, 2012","format":false,"excerpt":"The threat of too-big-to-fail banks has not diminished. The combined assets of the 6 largest US banks is bigger now than in 2008. Simon Johnson, Professor of Entrepreneurship at M.I.T. Sloan School of Management, writes: A growing number of serious-minded politicians are starting to support the point made by Jon\u2026","rel":"","context":"In "Banks & Interest Rates"","block_context":{"text":"Banks & Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1662,"url":"https:\/\/thepatientinvestor.com\/index.php\/2011\/10\/31\/europes-dying-bank-model-gene-frieda-project-syndicate\/","url_meta":{"origin":8459,"position":5},"title":"Europe\u2019s Dying Bank Model – Gene Frieda – Project Syndicate","author":"ColinTwiggs","date":"October 31, 2011","format":false,"excerpt":"In general, the eurozone has outsized banks (assets equivalent to 325% of GDP) that are highly leveraged (the 15 largest banks\u2019 leverage is 28.9 times their equity capital). They are also dependent on large quantities of wholesale debt \u2013 totaling \u20ac4.9 trillion (27% of total eurozone loans), with \u20ac660 billion\u2026","rel":"","context":"In "Banks & Interest Rates"","block_context":{"text":"Banks & Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/8459","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/comments?post=8459"}],"version-history":[{"count":0,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/8459\/revisions"}],"wp:attachment":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/media?parent=8459"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/categories?post=8459"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/tags?post=8459"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}