He added that there has been "outstanding" progress on setting up financial backstops to help struggling countries.
Markets remain fragile, and even Goldman would struggle without the array of government loan facilities and other backstops in place.
Second, euro area authorities continue to make their financial backstops more effective and more credible in the face of market pressures.
Third, euro area authorities continue working to make their financial backstops effective and credible in the face of these market pressures.
Recreating its backstops for money-market funds, commercial paper and asset-backed securities might require such stringent conditions that no one would participate.
Now Louisiana and Mississippi, with similar price caps and government backstops in place, are considering emergency orders to prevent insurers from leaving.
But rating agencies should surely not be involved as supervisors of fund managers, especially of unregulated hedge funds: they ought to be backstops, not gamblers' stooges.
And an FDIC fund dwarfed by the industry it backstops.
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The Volcker rule was mandated by the 2010 Dodd-Frank Financial Reform law to prevent banks that receive government backstops like deposit insurance from making risky trades that could endanger taxpayer and depositor funds.
But while they will likely increase the cost of their backstops significantly, no amount of fee income may be enough if they fear being left holding the bag on obligations that face potential default.
They've managed to do so by issuing bonds that are backed by future settlement revenues but, with the exception of some from New York and California, are bankruptcy remote--meaning the states offer no additional backstops.
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