there was Billions and billions of sideline cash ready to go into Bear, by the private sector. Moreover, there were billions for all the financial institutions.
When the government stepped in and started "deciding bank resolutions", all that money dried up because they can't take the risk the government would have stepped in and wiped them out.
and that is still the truth today.
The same is true today. So, the moment they stepped in, there was no choice, it was a feedback loop. and all money from then on was going to come from the federal government, because as a private investor You can't touch them for fear of the government.
That is just another argument.
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