0. first, not at all, but if that is impossible then,
1. full public disclosure of all financial transactions executed under this authority.
2. a proportional equity position in each bank and financial institution to which "relief" is granted.
3. Full powers of the courts to review any and all actions of the Treasury.
4. Paulson's apology and resignation the moment this passes. Replacement by someone who is not a member of the guilty mob that did this to us.
5. Civil service salaries at all banks and institutions bailed out.
I want this guy's head on a spike. This isn't about "voluntary" participation. If an instution is going to be bailed out it should only be because it will otherwise be bankrupt, and so they should have no choice.
The reward for the employees is that they get to keep their jobs. The officers need to start jumping off the helicopter pad.
In an election year with an unpopular Congress, I’m guessing this goes over like a lead balloon. The ECB can bail out European banks. We don’t need to.
Gordon Gekko: The richest one percent of this country owns half our country’s wealth, five trillion dollars. One third of that comes from hard work, two thirds comes from inheritance, interest on interest accumulating to widows and idiot sons and what I do, stock and real estate speculation. It’s bullshit. You got ninety percent of the American public out there with little or no net worth. I create nothing. I own. We make the rules, pal. The news, war, peace, famine, upheaval, the price per paper clip. We pick that rabbit out of the hat while everybody sits out there wondering how the hell we did it. Now you’re not naive enough to think we’re living in a democracy, are you buddy?”
Wall Street 1987
Humans are so stupid. We never learn.
A word description: LUNACY!
“a distinction without a difference to the American people”
Uh, speak for YOURSELF, Mr. Secretary. I care and there is a distinction because you are giving them MY MONEY, knucklehead.
It seems to me that its bad enough that we give CEOs incentives to act recklessly knowing that they will make millions and have the American taxpayer to bail them out when things head south. But at least they are subject to our laws and regulations. Foreign banks though, may actually use this policy to do the same thing and their governments may use it to intentionally hurt us.
Ping
The US banking system would be in an even worse shape had all the losses from US sub prime-based securities been concentrated in the US.
AIG’s impact on European bank’s regulatory capital
But the AIG case shows the importance of another link across financial markets, namely massive circumvention of regulatory requirements. The K-10 annex of AIG’s last annual report reveals that AIG had written coverage for over US$ 300 billion of credit insurance for European banks.
“…. for the purpose of providing them {European Banks} with regulatory capital relief rather than risk mitigation in exchange for a minimum guaranteed fee”.
Thus, a formal default of AIG would have exposed European banks’ large gap of regulatory capital, with possibly devastating effects on their ratings and market confidence. Which explains why AIG’s problems had sent shock waves through the share prices of European banks. Thus, the US Treasury has saved, inter alia, the European banking system. However, as AIG is to be liquidated, European banks will have to quickly shore up their regulatory capital.
http://www.voxeu.org/index.php?q=node/1669
So does this mean I don’t have to pay off my home?