Re:Joint Statement by the Department of the Treasury, Federa...
by joe_the_user on Sunday March 12, 2023 @09:46PM
(#35129632)
"The systemic risk exception invoked here is an exception."
Yes but it's not a new exception.
The OP claims Yellen implicitly announced something new. She didn't. She's following the playbook from 2008+. The policy isn't new, it's not unexpected, it's kind of like ... a rule.
And whether a new rule is being created matters for moral hazard purposes and all.
Edit: My above quote could have been read as talking about all depositors in all banks but I meant all depositors in the SVB.
Yes but it's not a new exception.
The OP claims Yellen implicitly announced something new. She didn't. She's following the playbook from 2008+. The policy isn't new, it's not unexpected, it's kind of like ... a rule.
And whether a new rule is being created matters for moral hazard purposes and all.
Edit: My above quote could have been read as talking about all depositors in all banks but I meant all depositors in the SVB.