Banks, at Least, Had a Friend in Geithner

TIMOTHY F. GEITHNER left the Treasury Department last week after four years as secretary. So how did he do?

As financial adviser to the president in the tumultuous years immediately after the credit crisis, Mr. Geithner had immense sway over the government’s approach to all things economic. For everyday Americans, his major tasks included responding to the home foreclosure mess, unwinding federal bailouts under the Troubled Asset Relief Program and tackling the problem of financial institutions that are too big to manage and too interconnected for America’s good...

FINALLY, there’s the matter of Treasury’s response to the weightiest issue of all: banks that are too large to succeed.

Back in 2010, Senator Sherrod Brown, Democrat of Ohio, and Mr. Kaufman were co-sponsors of the Safe Banking Act, which proposed placing tough limits on banks’ size. If it had passed, it would have imposed a strict 10 percent cap on any bank holding company’s share of United States deposits and set a 6 percent limit on leverage.

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Banks, at Least, Had a Friend in Geithner »