The term "too big to fail" became popular when a US Congressman used it in a 1984 congressional hearing. The theory behind the concept "too big to fail" fail” is that some financial institutions are vital to the economy because they are so large that if they were to fail, the economy would be in a dire state and therefore people believe that the government should step in and help support and save these institutions financial resources when they face problems. (Investopedia) I believe this is correct in assuming that financial institutions are vital to the economy, but I also believe it is a waste of government and taxpayer money to continue to bail out large financial institutions every time they need bailing out . out. The solution that I and many other people believe to reduce the problem is to break up larger financial institutions into smaller ones. In my opinion the government spends too much money (taxpayers money) to make sure the bigger institutions don't go bankrupt and have a huge negative effect on the economy. The way many people, myself included, think the government should handle the situation is to split the larger institutions into smaller institutions so we can still let the institutions go bankrupt and not have this effect in a big way on our economy. In previous years large financial institutions that are “too big to fail” have come to realize that they can “game” the system and make a lot of money by making bad decisions and knowing that they will be bailed out without having any responsibility for their actions. And when they do so they also escape prison for such action due to the fear that if a criminal case were brought against one of the so-called “too big to fail” financial institutions it would be… half paper. .....restoring the institutions is good for our economy in a way that is understandable to everyone. If no one stands up and starts changing things, nothing will ever change, our generation can be the one to step up and say no to following in the footsteps of past generations by ending our debt culture and using our money wisely, because if we don't do it nothing will ever improve. We must be the ones who stand up and make a change for the better in our economy. Works Cited http://www.investopedia.com/terms/t/too-big-to-fail.asp http://www.sanders .senate.gov/newsroom/recent-business/2013/04/09/break -up-big-bankshttp://www.rollingstone.com/politics/blogs/taibblog/owss-beef-wall-street-isnt-thinking -its-cheating-20111025http://blogs.wsj.com/washwire/2013 /09/12/sen-warren-congress-needs-to-act-on-too-big-to-fail/?KEYWORDS=too+ big+to+fail