Monday, October 6, 2008
They’re all missing the obvious!!!
The options are: Allow them to fail - Nationalise them - Nationalise them and then allow them to fail - Cut base rates (aka 'pushing a pirce of string') - Taxpayer funded bail-outs - Invest taxpayers' money in new share capital - Buy up their dodgy loans for more than market value - and - Debt-for-equity-swaps. If you don't know what a 'debt-for-equity-swap' is, Prof Willem Buiter explains here.