Bank Recapitalization: A Crucial Decision Impacting Economy, Depositors, and Regulators
The article discusses what happens when banks lose money and how regulators can respond. They can let banks fail, close them, or give them public money to keep them running. The choice affects the economy and different groups of people. In Japan, there are strict rules for banks, but they still need to consider their financial health. If banks don't have enough money to operate, they must find ways to increase their funds.