After the 2008 financial crisis, Washington put in strict new regulations on banks to make sure that they had enough capital. Bloomberg recently reported that the five biggest US banks made a trillion dollars in the last 10 years. The American banking from a consumer's point of view is 'a rotten deal', says John Defterios.
A lot has been said about the collapse of Silicon Valley Bank and Credit Suisse. But one important thing revealed by those closely scrutinized failures has largely gone unnoticed: the changing relationship between governments and banks.
Bloomberg Editor-In-Chief John Micklethwait joins this episode to talk about how the idea that finance is an arm of the state is back–and why that will have far-reaching consequences for the way the world works.
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