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Tag: KV Subramanian

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  • Not by mergers alone

    Not by mergers alone

    The danger of mergers is that instead of the strong banks lifting the weak, the weak ones may sink the strong. A mere freeze on lending by the worst banks was never a long-term solution. They could have been closed. Or, the bulk of dud loans of the whole banking system could have been transferred to a separate ‘bad bank‘, letting the system lend freely again.

    September 17, 2019