Professor Edward Kane:

It would be hard to enforce because there are bank holding companies. If something cannot be put on the bank's balance sheet, it can be put on the holding company's balance sheet and the banks can still exploit connections. There would be a lot of trouble writing the law. In the United States, we have some type of requirements like that with respect to the percentage of banking deposits that an individual bank can own. However, every time a bank has approached that limit, it has found ways to get around it pretty much, for example, by selling a few branches here and there or finding ways of redoing its balance sheets to stay within the limits. This proposal would treat something that is a proxy for the problem. Size is a proxy for the problem, not the problem. The problem is the relationships and the ability to force government support. That means eventually that taxpayers will be left to pay for it. Another practice underlying that is not putting this on the balance sheet of the government until taxes are finally raised.