Description:Â Reflecting on the 2008 financial crisis, former FDIC chairperson Sheila Bair discusses her regrets over the bailout of the big banks.
Source: CNNMoney.com â€“ video report
Date: Sep 27, 2012
Questions for Discussions:
- Summarize the regrets expressed in hindsight by Sheila Blair.
- Why do you suppose Citi bondholders were â€œprotectedâ€ by the Fed?
- What might have happened if the losses in bad debts had been spread to those bond holders?
- What have we learned about the way in which the Fed managed the risk assumed by Citi and other banks during this fiasco?