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Chicago Fed Letter, No. 35, July 1990
What We Know About the Deposit Insurance Problem

When the final bill is in for the 1980s, the difference between assets and liabilities at insolvent banks and thrifts may well turn out to have been as great as $200 billion—over $2,000 per household. The magnitude of the losses has propelled the debate over deposit insurance reform to the top of the political and regulatory agenda.



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