Lehman Brothers was allowed to fail. That’s all you need to know. Lehman was one of the largest investment banks in the world. And yet, when push came to shove, the government allowed the company to die. It didn’t impact me or you one bit, unless you were heavily invested in the company.
What would’ve happened if Goldman Sachs or JP Morgan/Chase had been allowed to die? Nothing, except several of their hedge funds and a lot of superrich people would’ve been allowed to fail with them. Tens of billions of dollars would’ve evaporated with the implosion of these corporations that have gone to corrupting government and both major political parties. Had they been allowed to fail, that probably would’ve been a good thing for 99.9 percent of all American citizens. Democracy would’ve been a little less corrupted.
The slogan “Too Big to Fail” should be changed to “Too Big to Exist.” If anybody thinks they’re too big to be allowed to fail, then the logical thing is that they should be broken up into more competitive pieces, which is what the Sherman Anti-Trust Act is supposed to do, if it were seriously enforced by the US government, which won’t do this because the politicians have been under the intoxicating influence of the billions of dollars of the big banks give them.