http://www.ft.com/cms/s/0/81887d7c-0c1f-11de-b87d-0000779fd2ac.html?nclick_check=1
Two powerful Republicans on Sunday called on Barack Obama, US president, to let some big banks fail instead of propping them up with public money.
Richard Shelby, the top Republican on the Senate banking committee, warned that the US would end up following the same path as Japan, which suffered a lost decade of economic growth by tackling its banking crisis too slowly, unless some big institutions were allowed to fail.
EDITOR’S CHOICE
Obama visit to bolster ties with Turkey - Mar-08Obama says health reforms cannot wait - Mar-06In depth: Obama’s first 100 days - Jan-20"Close them down, get them out of business. If they're dead, they ought to be buried," Mr Shelby told ABC News. "We bury the small banks. We've got to bury some big ones and send a strong message to the market."
The comments were made as experts debate whether the US should nationalise insolvent banks or allow the "zombie" institutions to fail.
The Obama administration is administering
