If two crappy financial institutions decide to merge, does that make them one big crappy institution. What is to be gained here?
They are trying to make themselves "too big to fail"
IMHO, the “investment banks” got to operate for years in a blissfully unregulated environment, like the banks pre-1929. Now that their irresponsible speculation has led to a panic, they’re looking to merge with a regulated bank with access to government-sponsored insurance like the FDIC.
Will they become too big to fail?