"The root problem is uncertainty—in our case, uncertainty about whether the major banks have sufficient assets to cover their liabilities. Half measures combined with wishful thinking and a wait-and-see attitude cannot overcome this uncertainty. And the longer the response takes, the longer the uncertainty will stymie the flow of credit, sap consumer confidence, and cripple the economy—ultimately making the problem much harder to solve. Yet the principal characteristics of the government’s response to the financial crisis have been delay, lack of transparency, and an unwillingness to upset the financial sector."
- Simon Johnson -
You can read the entire article here:
The Quiet Coup
What has disturbed me most about Obama's tenure so far is just how little our fiscal policy has changed from the days of George W. Bush. This "plan" by Geithner is cash for trash repackaged with different lingo.