Banks Need Capital
By
MikeAdamson
on September 25, 2008 at 09:05 am
The Paulson Bailout Plan proposes that the government buy the banks’ toxic mortgages thus increasing their appeal as destinations for capital investment. Axel Merk of Merk Funds wonders why the government doesn’t just invest $700b in the banks and avoid the risk of assuming bad investments.
Makes sense to me.
