Surveillance: Bank Regulation with Hoenig
Bloomberg Surveillance
00:00
Is Liquidity a Follows Capital?
Thomas Honek: "You have set the expectation today. I mean, everyone's going to be protected" He says if we don't learn on the other side of this, watch our monetary policy are supervited when we need stronger capital. These put any coverings, we have to make sure they're actuallyLiquidity is a follows capital because when people become uncertain about your solvency, they run and then your liquidity problem forces the issue.
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