Europes Banks Must Be Forced to Recapitalize E.U. banks must hold more capital. Where private funding is

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Europe’s Banks Must Be Forced to Recapitalize E.U. banks must hold more capital. Where private funding is not forthcoming, recapitalization must be imposed by E.U. governments.

What is the “capital” referred to in the news clip? How might the requirement to hold more capital make banks safer?

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