The Bank Bailout Debate: Federal Regulation and Small Banks

The recent failure of Silicon Valley Bank has led to tech industry leaders, who have previously criticized big government, calling for federal intervention and rescue. The bank's collapse may have been prevented if it had been subject to stricter regulation under the Dodd-Frank Act, which was weakened by a deregulation law signed by President Trump in 2018. The current crisis highlights the importance of effective government regulation and intervention in preventing catastrophic bank failures.