Quote:
Originally Posted by Minkoff
Sheesh, The Govt is taking 250 large and investing in US banks with "our" money.
Who says I wanted to be in he market  |
Would you prefer to have 1 or 2 large US money center banks (think Citigroup) fail, 1000+ smaller US banks also fail, amid a cascade of bank failures around the world?
If global governments manage to rescue the banking system (Europeans are doing the same), these investments will pay 5-9% annual interest plus the banks will buy back the preferred shares when they are strong again.
If not, then $250BN now won't matter so much, because we'll be in a depression and the govt will be spending far more than that to just keep the economic heartbeat going.