Considering that the recession began over a year ago, rather _before_ lending drie up, how do we know that the problem is refusal to lend rather than refusal to borrow -- their not being anything promising to spend/invest the borrwoed money on?
Carrol Jim Devine wrote: > > Michael Smith wrote: > > You simply let the banks go bankrupt. Then the government > > steps in and buys 'em for pennies on the dollar -- if that; > > some of these outfits are probably worth less than zero. > > Call it a "rescue". Then once Sam owns 'em, he starts > > lending money like crazy. > > aren't back stocks pretty cheap as it is? Bank of America was once at > 43.60 (its high point during the last 52 weeks), while today it's > 5.74. Of course, if the US government were to start buying it up, the > price would soar: they might have to freeze the price. (source: > http://quote.morningstar.com/Quote/Quote.aspx?ticker=BAC) > -- > Jim Devine / "Segui il tuo corso, e lascia dir le genti." (Go your own > way and let people talk.) -- Karl, paraphrasing Dante. > _______________________________________________ > pen-l mailing list > [email protected] > https://lists.csuchico.edu/mailman/listinfo/pen-l _______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
