Too Big to Fail

Usually associated with large bank failures the phrase too big to fail which is a particular form of government bailout actually applies to a wide range of industries as this volume makes clear. Examples range from Chrysler to Lockheed Aircraft and from New York City to Penn Central Railroad. Generally speaking when a corporation an organization or an industry sector is considered by the government to be too important to the overall health of the economy it will not be allowed to fail. Government bailouts are not new nor are they limited to the United States. This book presents the views of academics practitioners and regulators from around the world (e.g. Australia Hungary Japan Europe and Latin America) on the implications and consequences of government bailouts.