FDIC's Sheila Bair breaks with the government's plans to address too-big-to-fail firms, saying a...

|By:, SA News Editor

FDIC's Sheila Bair breaks with the government's plans to address too-big-to-fail firms, saying a resolution authority should be funded in advance - not just by the survivors - to avoid the "pro-cyclical nature of requiring repayment after a systemic crisis." Illinois Rep. Luis Gutierrez is with her: "Most of us don’t die and then buy a life insurance policy." (Bair's statement (.pdf))