Since the deposits are insured, there is little difference between legal bankruptcy and nationalization. In fact, nationalization looks like another bailout of failed management. One more effort of helping friends in need by veterans of old boys’ network of the financial industry, now the core of Obama “moderate” team. Bankruptcy would bring new people and possibly induce major change. Nationalization will not. No wonder it has support across the political spectrum.
Without credit facilities to the entrepreneurs recovery is impossible, as everybody, including those who disagree with Keynes or have not read him, know. Keeping the existing structure and management of banking industry is the wrong step to recovery. Wasn’t “change” the slogan… ages ago?
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment