This is a theatlantic.com article.
The phrase “break up the banks” is often tossed around as though it’s some sort of abstraction. Here’s a sensible approach to how it could work in practice.
When regulators from around the world—including the U.S. and the E.U.—determined in 2008 that the banking system was terribly under-regulated, they all suggested a similar fix: Separate the departments involved in investment banking from those that deal with more run-of-the-mill insured deposit-taking. But recently there has been some back-sliding on such separation, and finance is still dominated by giant banks that mix the two.
PiggyBankBlog Bailiff: “All rise! The honorable Congresswoman Marcy Kaptur has entered the Courtroom of Public Opinion!”