The Bailout

Image by Getty Images via DaylifeI haven't written in a while because I've been more than a little bit caught up reading anything I could about the Bailout being proposed by Hank Paulson and Ben Bernanke (hilariously termed 'Hanke-Panke' Bailout). So, I've shared a lot of stories in google reader that I thought people might like. You can check them out if you are my friend in google reader or you can go to the 'bailout' tag that I made public.


You can also see everything that I've shared.  And, of course, I have a google reader gadget on the left.

I try not to get into crazy political discussions on the blog (and in real life), but I have no idea if I am in favor of the plan or not. I don't know if I really had a problem with the original proposal, though I admit it feels better that they are going to take equity stakes in the new proposal.

The most interesting part of all of this has been thinking about how devastating this could be in a worst case scenario. The vicious cycle created by credit-ratings, bad assets, and capital requirements is amazing.