The Treasury Finally Does What It Said It Would Do Six Months Ago..

He IS Uniquely Qualified.... He's The Only Guy In The Fed Who Can Play a Brochure Like a Flutophone !!! Or a Bong..

Today, the Treasury Department announced that it would team up with private investors to buy up nearly $1 Trillion of bank assets that are clogging up ther ability to lend further. These 'toxic assets' will basically be taken off of the lenders books, making their balance sheets more stable, and allowing them to loan money to businesses and ordinary citizens. This would hopefully increase consumer spending, and get the economy rolling again.

This is all economic theory, of course, so it is subject to interepretation, but it sounds pretty solid to me. Banks make money on loans if they 1) loan to people qualified to repay them, and 2) don't go apeshit with risky ventures. It's actually an very simple business if done sensibly. Ever see a Credit Union go under ????

I do have one question: What the hell took them so long to do this? They were talking about doing this six months ago. If the economy was in such a sad state, why did they take so long to do it? Maybe because voters do get all jacked up about economic and banking policy, but they do when you say 'Economi Stimulus'?

Between this and the stimulus, this is the adjustment that will get the economy rolling again. The private markets have much more influence on economic change than a bunch of handouts. Alas, it's not sexy...

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