Rajan on the Contagion Risk from Credit Suisse, SVB

Professor Raghuram Rajan discusses the current banking issues, focusing on Credit Suisse's unique problems and the broader concerns in the US banking sector, particularly with SVB. He highlights the regulatory gaps and potential contagion risks, emphasizing the importance of communication by central banks to maintain market confidence. The discussion also touches on the challenges of balancing inflation control with banking sector stability.

What are the two different problems mentioned regarding Credit Suisse?

How does the situation with SVB differ from that of Credit Suisse?

What concerns do regulators have regarding small to medium-sized banks in the US?

What is the potential impact of cutting interest rates at this point according to the professor?

What moral hazard issue is raised in the context of banking regulations?