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Banking crises are all too common. they are also costly. The potential cost of the most recent bail-out package in the United States is a staggering US$2.25 trillion. That's 16% of GDP. Compared to the actual bail-out costs following Indonesia's banking crisis of 1997-98, for example, the US figure is small change. Indeed, Indonesia's bail out costs amounted to 40% of GDP.

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