FYI
by digby
In case you would like an explanation as to why people believe the government should take temporary ownership of the banks, this essay is the most concise explanation I've seen for why they believe the move is necessary and what it means.
But it's important to remember that it's just a band-aid to stop the bleeding and get things rolling again:
The temporary nationalisation of the banking system and the substitution of private debt by public debt will allow us to reach a new equilibrium. When this happens, a fundamental reform of the banking system will be necessary in order to remain in this benign equilibrium. When this is achieved the governments will be able to privatise the banking system again.
It's possible that everyone in government and business and on wall street is scared enough to make that happen. But fear fades as fast as it appears. I hope they move quickly.
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