The state cannot be prevented from intervening in major banking crises

The Silicon Valley Bank crisis and following the Credit Suisse crisis alarmed the financial markets and the central banks themselves for fear of a domino effect. The different types of supervision largely explain these phenomena but there is no doubt that economic globalization favors the interconnection of phenomena and in particular of financial ones. Having said this, it would be wise for the Eurozone to rethink the so-called bail-in approved a few years ago with great superficiality in a European legislative process launched when the Monti government was in office, if memory serves us well. To be brief, concise and succinct, as they say, that legislation prevents state intervention to save a bank in great difficulty from default, making only managers, bondholder shareholders and even depositors over one hundred thousand euros responsible. In short, the triumph of the market to which, in the case of the banking system, the ultimate powers that normally reside and belong to the states are transferred. It is no coincidence that in large democracies, starting with the United States and Great Britain, ultimate powers are strictly held by governments in the name of the state. In the event of great financial difficulties, the governments of those countries have nationalized everything and more even just for the time necessary to resolve the crises, as for example in the case of the car company Chrysler.