The (Un)intended Effects of Government Bailouts: The Impact of TARP on the Interbank Market and Bank Risk-TakingBehr, P., & Wang, W. (2020). The (un)intended effects of government bailouts: The impact of TARP on the interbank market and bank risk-taking. Journal of Banking and Finance, 116.
When it became evident the 2008 financial crisis would create extreme problems for bank liquidity, banks receive a bail-out from the government. Specifically, TARP, the troubled asset relief program, was one such program to attempt to lessen the mortgage crisis. Ultimately, the question posed is how effective was such government intervention.