Despite widespread belief to the contrary, government intervention into broad swathes of the economy to support “too big to fail” companies is not a positive for future growth.  There is an economic truism that whatever you subsidize you get more of – hence by subsidizing failure we are ensuring bigger failures in the future and worst of all penalizing well run businesses.  The firms that were prudently managed leading up to the crisis should have benefited from the demise of their poorly run competitors – in a free economy capital would have flowed to the profitable businesses rather than the loss making ones. The fact that this didn’t happen creates a perverse “if you can’t beat’em, join’em” mentality with respect to risky and imprudent business practices.