Simon Johnson Takes on Banks Deemed Too Big to Fail

FRI, APR 2, 2010 (6:49)

Simon Johnson, the Professor of Entrepreneurship at MIT’s Sloan School of Management, and former chief economist at the International Monetary Fund, is an outspoken critic of the US government’s response to the financial crisis. Now he takes on the “too big to fail” banks, which continue to threaten our economy. In his latest book, called 13 Bankers: The Wall Street Takeover and the Next Financial Meltdown, which he co-wrote with James Kwak, Simon argues that if the biggest banks aren’t cut down to size, it’s only a matter of time before we face another financial crisis. And once again, the government (the taxpayers) will be obliged to step in and bail out these behemoths… In Simon’s words, if they’re too big to fail – they’re too big to exist. Simon Johnson spoke with ThoughtCast at the Harvard Book Store in Cambridge, Massachusetts.

+ BIO: Simon Johnson

Simon Johnson is Ronald A. Kurtz Professor of Entrepreneurship at MIT’s Sloan School of Management and a senior fellow of the Peterson Institute for International Economics. He is coauthor, with James Kwak, of The Baseline Scenario, a leading economic blog.