Too Big to Fail, Consumer Protection, Derivatives, and Government Regulation

I recently discovered the NPR PlanetMoney podcast and have really appreciated their fresh approach which is both entertaining and full of insight.  There is plenty of depth and not just soundbites.

Are you worried about financial institutions which are "too big to fail"?  Are you worried that financial regulators might go to far and make things worse?  In either case, you will appreciate Podcast: Planet Money Live (or click here to find on iTunes).  One of the host's dad is there to ring a bell to make sure nobody uses jargon he doesn't understand without explaining it.

- Bob Litan and Scott Talbott duke it out over what to do with financial institutions that are too big to fail.
- Adam Levitin and Diane Casey-Landry sound off on a proposed Consumer Financial Protection Agency.
- Darrell Duffie and Mark Brickell dispute the future of derivatives.

With special appearances by Alice Rivlin, Martin Bailey, Charles Calomiris, Peter Wallison and Adam's dad, Jack Davidson.

One participant wants a "bigness tax" to discourage financial institutions from getting too big to fail.  One participants wants to go even further and force big institutions to break up.  Industry insiders and conservatives counter with their points that such regulation would have unintended consequences or that large corporations like General Electric need to do business with large financial institutions.