What We Really Should Have Done With the Banks
What We Really Should Have Done With the Banks
What We Really Should Have Done with the Banks
TODAY, THE Obama administration unveiled the latest addition to its recovery plan: a proposed $1 trillion buyout of toxic assets through incentivized loans to private investors. Last month, economists Marcellus Andrews, Mark Levinson, Jeff Madrick, and Carol O’Cleireacain debated, among other things, how Obama might save the banks (and how Obama ought to save the banks) in a Dissent-hosted panel, “Boom, Bust–Now What?”
“The short-term and even medium-term slump will be handled,” Andrews notes. “But I worry that we will do the wrong thing in bank restructuring: we will attempt to save some pieces of the banking and financial model that don’t work and can’t work and that need to be cleaned up.”
Listen to the 02/25/09 Discussion
More on the Financial Crisis
Photo: Ramy Majouji / Wikimedia Commons / Creative Commons.
