Tax Payers Pay for Stockholders' Mistakes
Paul Krugman, The New York Times, February 2, 2009
The Obama administration’s plan for rescuing the banking system is not the appropriate response to saving the financial system. ++ The problem goes beyond fairness considerations, "where taxpayers bear the cost if things go wrong, but stockholders and executives get the benefits if things go right." ++ Times have changed, Greenspan is no longer the Maestro and bankers are no longer heroes of capitalism. ++ "If taxpayers are footing the bill for rescuing the banks, why shouldn't they get ownership, at least until private buyers can be found?"
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