Article: Economic Outlook: The next bailout.

Washington Democrats unveiled a bill to grant the government power to seize firms considered so large their failure would disrupt the financial system.

The bill was written by the Treasury Department and Chairman of the House Financial Services Committee Barney Frank, D-Mass, The New York Times reported Tuesday. New details emerged as the measure was unveiled, including the definition of too-big-to-fail, the foggy guideline that regulatory agencies used in the fiscal crisis that developed last fall.

Firms considered so large their failure would sink the financial system were protected by the government with billions of taxpayer dollars. Amid a ...

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