Pass It On……..

From the great Joseph E. Stiglitz:

Some Americans are afraid that the government might temporarily “nationalize” the banks, but that option would be preferable to the Geithner plan. After all, the F.D.I.C. has taken control of failing banks before, and done it well. It has even nationalized large institutions like Continental Illinois (taken over in 1984, back in private hands a few years later), and Washington Mutual (seized last September, and immediately resold).

What the Obama administration is doing is far worse than nationalization: it is ersatz capitalism, the privatizing of gains and the socializing of losses. It is a “partnership” in which one partner robs the other. And such partnerships — with the private sector in control — have perverse incentives, worse even than the ones that got us into the mess.

Nationalize.  Reorganize.  Decentralize.  Pass it on.

Published by

bibo

After successfully crash landing in the Pacific Northwest, Bibo decided to take advantage of the low interest rates and gamble on the Seattle housing market. The god monster with some intelligence now resides somewhere in North Seattle.