2min chapter

Forward Guidance cover image

Danielle DiMartino Booth: A Banking Panic Makes The Fed’s Job More Difficult

Forward Guidance

CHAPTER

Is There Leverage in the System?

Silicon Valley Bank, Signature Bank and some other banks that are having pressure. What do they have in common? They bank the venture capital and private equity industry where that is the shadow banking system. All of these players have a very kind, friendly neighborhood banker. There's always leverage in the system. It's just where it lives.

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