tinman

Bailout Should Be A Windfall For Taxpayers - Barron's

Housing bubble due to excess liquidity (and a systemic problem that temporarily was rewarding greed and punishing prudence). Drops of 30% are NOT the problem, it was the excess rise of %30.

Now we have a sea of debt instruments of uncertain value that are an accounting nightmare, bringing major institutions to their knees. It makes sense to me to create a market for the questionable debt BUT
1. it is not a panacea
2. the current administration is incompetent at best and corrupt to the core at worst

I would prefer to change the accounting rules for the duration of the crisis (i.e. suspend mark to market for illiquid assets, suspend short selling -- isn't that why God gave us put options anyway?), and reinject capital where needed on Buffet-like terms.