Bailout
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Bailout
When a bank or a company runs into financial difficulties the state can buy their bad assets or buy shares, pay a contribution or offer guarantees - at the expense of taxpayers. This is called a “bailout”.
Most states used such bailouts during the financial crisis of 2008 and 2009. New EU rules from 2014 may place the first duty as regards bailouts on the banks themselves.
See Banking Union
