Banks are throwing their weight around in the debate on size. Lloyd Blankfein is the latest chief executive to retaliate against the creeping acceptance that "too big to fail" is simply "too big". The Goldman Sachs boss told Germany's Spiegel magazine that a world with more but smaller banks, would be just as risky as one with a few financial giants. His arguments are unconvincing.

Blankfein says big isn't bad and reckons it's "completely irrelevant" whether risk is concentrated or spread about. He contends that eliminating the too-big-to-fail predicament would simply create a new problem of "too many to fail".

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