Michael Pettis
Michael Pettis

@michaelxpettis

2 Tweets 1 reads Jul 11, 2023
1/
"The banks say the March crisis reflected a failure of some bank managers and regulators—not a systemic lack of capital, and that higher capital rules will cause them to hold back more funds and limit lending, which they warn will hurt the economy."
wsj.com
2/2
What self-interested nonsense. American businesses aren't exactly clamoring for scarce capital to fund their huge investment needs. I don't think the main problem with the American economy is that banks are too safe and too constrained in their financial activities.

Loading suggestions...