Question
Bailout loans via the Troubled Asset Relief Program (TARP) for banks stand as one of the most significant as well as one of the most
Bailout loans via the Troubled Asset Relief Program (TARP) for banks stand as one of the most significant as well as one of the most controversial measures that regulators took to help banks (i.e. depository institutions) during the financial crisis of 2008-09.Briefly explain what "banking nightmare" TARP was seeking to address, and why this is a problem for banks.Then explain what the alternative to TARP would have been, including the role of the FDIC based on its original formation.One argument defending TARP was that this standard solution would have been far too costly, due to the significantly greater size of the large banks relative to the early 1990s.Name and define one piece of legislation that enabled banks to become so much larger than before (provide the legislation itself, not the legislation that was repealed).Provide one other measure that regulators used to help banks (i.e. depository institutions) during the financial crisis of 2008-09
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