Does the financial regulatory bill put an end to taxpayer-funded bailouts? Or does it "institutionalize" them? Viewers of the Sunday political talk shows and recent C-SPAN clips from the Senate floor might well be wondering, as Democrats (the "end of bailouts" crowd) and some Republicans (the "institutionalize" camp) have made these contradictory claims.
No piece of legislation can guarantee that a future Congress won’t allow the federal government to prop up a failing financial institution. But claims that this bill makes taxpayer-funded bailouts a permanent fixture are misleading,