markg

Academic Economists vs. Paulson

Felix, where are the facts to back up one point you made? The main problems with the Paulson plan are:

We are taking tax payer dollars to make the same institutions more solvent that lost their solvency through mis-management, doesn't anyone else see a problem with this?

The premise of the Paulson plan is that liquidity is needed for financing growth, and I agree with this, but idea the plan proposed to implement this is faulty. Why not funnel liquidity into the economy through paths that have demonstrated success? Where is the economic growth path? Paulson has yet to elaborate on that little detail.

Bernanke stated at his confirmation hearings that we were not in a housing bubble. Do you thrust his judgement now? I sure as hell don't.