Regulatory forbearance and government financial support for the largest U.S. financial companies during the crisis of 2007–09 highlighted a “too big to fail” problem that has existed for decades. As in the past, effects on competition and moral hazard were seen as outweighed by the threat...

This essay describes and analyses the causes, responses and the effects of the 1890 Baring Bank crisis. It also juxtaposes the Baring Bank's crisis of 1890 with the 2008 Lehman Brothers' Bank crisis.Methodology: Qualitative methodology and some empirical evidence recorded in black letter sources

The bailouts carried out by governments for large banks and other financial entities in the recent financial turbulence are often characterized as a Too-Big-To-Fail (TBTF) policy. Proponents of such a policy argue that preventing the failure of large banks (and possibly other financial and...