The so-called too-big-to-fail policy has two conflicting, Ask an Expert

Economics

The so-called too-big-to-fail policy has two conflicting sides: on one hand there's the moral hazard problem that it creates, but in the other hand the Fed must:

Control the money supply

Ensure the employment of people in financial services

Promote competition among banks

Protect the stability of the banking system

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91233309

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