So my choice is nationalization, but a smart cookie pointed out that due to (Clinton's) repeal of glass-stegal, merged financial institutions were created and nobody bothered to considered receivership in that scenario.
Meaning the government may not be able to legally take into receivership a company like Citi; or at least it's legally foggy. In other words, that's just one of the reasons it's not happening. Meanwhile, the Euros are refusing to "stimulate" unless the US regulates. So ... --- The Obama administration is proposing an extensive overhaul of financial regulations to increase oversight of such exotic instruments as credit default swaps that have been blamed for contributing to the worst financial crisis to hit the country in seven decades. Officials said Wednesday that the administration will seek to regulate the market for credit default swaps and other types of derivatives and require hedge funds to register with the Securities and Exchange Commission. The program the administration was presenting to Congress will also include a recommendation for creation of a systemic risk regulator, possibly at the Federal Reserve, to monitor risks to the entire system. The plan also includes a measure that Geithner and Federal Reserve Chairman Ben Bernanke discussed before the committee on Tuesday to give the administration expanded powers to take over major nonbank financial institutions such as insurance companies and hedge funds that were teetering on the brink of collapse. http://www.forbes.com/feeds/ap/2009/03/25/ap6214913.html ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Adobe® ColdFusion® 8 software 8 is the most important and dramatic release to date Get the Free Trial http://ad.doubleclick.net/clk;207172674;29440083;f Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:292839 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=11502.10531.5
