Trust of the general public in the intentions and judgement of policymakers is also vital in ensuring that society as a whole accepts the constraints and hardships of needed fiscal adjustment. A patently unfair distribution of the burden will not long be tolerated in any democratic society.
One potential response is a tax on size: much higher capital requirements for “systemic” institutions so as to lower greatly the probability of a failure of a really large firm, either by making large firms much less risky, or giving them an incentive to no longer be large. Another approach would simply be much more intensive – and intrusive – supervision of such entities.