Finally, a plan that addresses a root cause of the crisis: housing.
It’s clear that politicians have been dragging their feet on dealing with bad assets in banks. This topic certainly deserves a fool post, but since I’m on vacation, you get a link and a quote.
Share Thisut the first-day verdict on the Dow Jones average went in the right direction for Mr. Geithner this time, up nearly 7 percent and 500 points, in contrast to the precipitous slide after Mr. Geithner’s first effort, when his inability to explain in any detail how the program would work left Wall Street jittery about whether the administration had a workable plan.
A Treasury spokeswoman insisted the only difference was that Mr. Geithner had the time to complete details so complicated that they amount to creating a new financial system with global reach. But beyond the substance, the administration also had a more careful plan in place to introduce the proposal, because neither Mr. Geithner nor Mr. Obama could afford another negative review.
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