Bankruptcy
in sentence
561 examples of Bankruptcy in a sentence
While bank regulators have tools to push banks similarly, their most effective one is the power to initiate a
bankruptcy
when it is best for the economy.
But if a failing mega-bank runs out of cash during such a delay, the risk that its
bankruptcy
will be disorderly – as with Lehman Brothers in 2008 – rises, as does the potential that it will wreak havoc on the real economy.
And to play that role well, the government must be deeply involved in the
bankruptcy
process, so that it can jump in if needed.
American regulators can, but only if they can control the timing of the bankruptcy, and otherwise engage in the process.
To be sure, the
bankruptcy
bill now in play is useful.
If successful, this kind of rapid-fire
bankruptcy
process would be valuable.
To have any chance of re-opening on Monday morning, a bankrupt bank’s billions of dollars in long-term debt would already have to be structured in such a way that a
bankruptcy
court could eliminate it over a weekend.
But
bankruptcy
judges would have no knowledge in advance of a bank’s debt, and they would need more than a weekend to determine whether that debt could be properly stripped out.
Under the current proposal, the absence of a regulatory safety net could result, if the weekend restructuring fails, in a global chaotic free-for-all, just like the one that followed the 2008 Lehman Brothers
bankruptcy.
Maintaining financial stability in a crisis is too important for us to pin our hopes on a narrow
bankruptcy
channel.
A letter to Congress with a similar conclusion was signed by 120 academics with expertise in bankruptcy, banking regulation, finance, or all three.
Yet if Greece is to be saved from bankruptcy, it will have only foreign taxpayers' money to thank for it.
Of course, the deliberate restriction of the effects of
bankruptcy
to accounts other than private current, savings, and fixed-term deposits means that the insolvency of bank A could lead to the insolvency of bank B. For bank B, too, the same liquidation scenario would apply: savings deposits would be safe, payments could be made from its customers’ current deposits, and loans that it granted to non-financial companies would not be revoked.
Certainly, the government must also find better ways to help homeowners and their lenders work out efficient
bankruptcy
proceedings.
The 2008 financial crisis, aggravated by useless Keynesian public spending, has brought all European states to the edge of
bankruptcy.
The competitive pressures on European banks resulting from currency union will almost surely force the issue, by pushing weak banks towards
bankruptcy.
Nor do import tariffs help those left unemployed by the
bankruptcy
of Blockbuster Video, Borders Books, CompUSA, Circuit City, Payless, or Virgin Megastores.
Converting existing sovereign debt into new bonds attached to GDP warrants would work like a debt/equity swap in a corporate
bankruptcy.
Among his few successes are state-employee pension fund reforms, which will save the system from
bankruptcy.
Banks know (or believe) that if an SOE or LGFV faces bankruptcy, the government will step in with favorable policies and subsidies, tax cuts, and low-cost financing instruments.
But the credit squeeze engineered by the IMF simply pushed the enterprises into
bankruptcy.
These in turn caused the banks to demand repayments of even more loans from enterprises, which caused even more enterprises to fall into
bankruptcy.
Barring an accident like the Lehman Brothers bankruptcy, Germany is likely to do enough to hold the euro together, but the EU will become something very different from the open society that once fired people’s imagination.
Unlike more developed countries, India does not have an effective
bankruptcy
system (though a bill to create one has just cleared the lower house of Parliament).
Generally the causes are these: unpaid wages and pensions; sudden and massive job terminations; and management corruption held responsible for the
bankruptcy
of industrial enterprises--where discharged workers were secure, enjoying privileges and benefits, since the 1950s.
Widespread
bankruptcy
and unemployment increased social tension, ultimately making normal democratic politics impossible.
A new report shows that a million American middle-class women will find themselves in
bankruptcy
court this year.
The second reason that a million US women have filed for
bankruptcy
is that legislation enacted in 2005 now pits individual women – who can’t afford costly legal advice – against credit-card companies in terms of who gets paid first when ex-husbands owe delinquent credit-card payments and child-support payments.
All the other awful pressures that are driving so many women into
bankruptcy
will still exist, but at least more women will be facing these pressures with their eyes wide open, and, one hopes, with many better options.
The regulators’ tersely worded letter to the International Swaps and Derivatives Association (ISDA) asked it to renounce a core component of the industry’s multi-decade effort to exempt itself from financial debtors’
bankruptcy
– an exemption that worsens not only the debtor’s stability, but also that of the global economy.
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