Too big to fail fact of the day

by Tyler Cowen August 28, 2009 at 2:57 pm in

Data Source

Large
banks with more than $100 billion in assets are borrowing at interest
rates 0.34 percentage points lower than the rest of the industry. Back
in 2007, that advantage was only 0.08 percentage points, according to
the FDIC. Such differences can cause huge variance in borrowing costs
given the massive amount of money that flows through banks.

Here is the article and I thank Ralph S. for the pointer.