Adam Tooze: The Non-Bailout Bailout
Bad management and bad luck prompted the collapse of Silicon Valley Bank. What about other banks?
The U.S. federal government only insures bank deposits up to the amount of $250,000—under normal circumstances. But the failure of Silicon Valley Bank (SVB) last week triggered an extraordinary intervention, with Washington guaranteeing all deposits in full. It was an acknowledgment of the possibility that SVB’s failure might have produced a cascade of bank runs across the financial system—and also a reflection of the special status of the bank’s community of depositors, centered on California’s tech economy.
Cameron Abadi is a deputy editor at Foreign Policy. Twitter: @CameronAbadi
Read More
A Tale of Two Germanies
Thirty-three years after reunification, the country’s wounds are rawer than many would like to admit.
The Great Turn Inward
A new book argues countries are de-globalizing yet again. But was there ever such a thing as globalism to begin with?
‘We Don’t Want to Lose Our Second Motherland’
Mustafa Nayyem fights to rebuild Ukraine.
More from Foreign Policy
No, the World Is Not Multipolar
The idea of emerging power centers is popular but wrong—and could lead to serious policy mistakes.
America Prepares for a Pacific War With China It Doesn’t Want
Embedded with U.S. forces in the Pacific, I saw the dilemmas of deterrence firsthand.
America Can’t Stop China’s Rise
And it should stop trying.
The Morality of Ukraine’s War Is Very Murky
The ethical calculations are less clear than you might think.
Sign up for World Brief
FP’s flagship evening newsletter guiding you through the most important world stories of the day. Delivered weekdays.
By submitting your email, you agree to the Privacy Policy and Terms of Use and to receive email correspondence from us. You may opt out at any time.
Join the Conversation
Commenting on this and other recent articles is just one benefit of a Foreign Policy subscription.
Already a subscriber? .
Subscribe Subscribe
View Comments
Join the Conversation
Join the conversation on this and other recent Foreign Policy articles when you subscribe now.
Subscribe Subscribe
Not your account?
View Comments
Join the Conversation
Please follow our comment guidelines, stay on topic, and be civil, courteous, and respectful of others’ beliefs.