Comments on: EU bank levy idea is circular — and dangerous Mon, 26 Sep 2016 03:26:00 +0000 hourly 1 By: pedrodude Thu, 13 Jan 2011 14:24:18 +0000 And how exactly is the EU going to accurately predict the benefit from the one or two occasions when it would prove a lifesaver, compared to the detrimental effect on lending and spending by not drawing that liquidity away from the market? And won’t this put a burden on successful banks and prop up unsuccessful member states [and indirectly, their banks].

At least without a safety net, banks and member states will be more inclined towards a less risky stance.