HHSDad Posted January 28, 2009 Share Posted January 28, 2009 In his confirmation hearing last week, Treasury Secretary Tim Geithner said the White House is working on a new bank rescue plan. He was short on details, but the massive scope of the problem has prompted talk that the administration may be planning to "nationalize" a large portion of the banking industry. In its most extreme form, nationalization would mean that the government buys (or takes) all the shares of stock and takes over operations of the company, keeping the profits. Such state ownership is typically a form of socialism; major oil producing countries, for example, have set up state-owned companies to produce and sell oil, using the proceeds to pay for government services. http://www.msnbc.msn.com/id/28880095 Link to comment Share on other sites More sharing options...
UKMustangFan Posted January 28, 2009 Share Posted January 28, 2009 :scared: :scared: Not good. Not good at all. Link to comment Share on other sites More sharing options...
IM4THEHOUNDS Posted January 28, 2009 Share Posted January 28, 2009 Scary thought. The slippery slope begins . . . Link to comment Share on other sites More sharing options...
NEXT Posted January 28, 2009 Share Posted January 28, 2009 WOW! Link to comment Share on other sites More sharing options...
Hatz Posted January 28, 2009 Share Posted January 28, 2009 I don't think I like the idea either. But I have a question. Didn't the Government already become "share holders" to some banks it bailed out last fall with the first plan? Can some one clarify that for me? Link to comment Share on other sites More sharing options...
Habib Posted January 28, 2009 Share Posted January 28, 2009 Troubling. If this is indeed the policy they pursue I will be first in line to oppose it. Link to comment Share on other sites More sharing options...
acemona Posted January 28, 2009 Share Posted January 28, 2009 You mean we didn't nationalize parts of the banking industry with TARP??? What I have read is that they are considering nationalizing some of the bad loans . . . buying them from the banks Link to comment Share on other sites More sharing options...
Habib Posted January 28, 2009 Share Posted January 28, 2009 I don't think I like the idea either. But I have a question. Didn't the Government already become "share holders" to some banks it bailed out last fall with the first plan? Can some one clarify that for me? Freddie and Fannie were nationalized, more or less, but they were already quasi-government organizations. The government will be the majority shareholder of AIG if it fails to repay its loan. Link to comment Share on other sites More sharing options...
ladiesbballcoach Posted January 28, 2009 Share Posted January 28, 2009 I thought it was just Republican hype that O was going to move this country to socialism? Link to comment Share on other sites More sharing options...
cch5432 Posted January 28, 2009 Share Posted January 28, 2009 How is this supposed to help? Link to comment Share on other sites More sharing options...
HT721 Posted January 28, 2009 Share Posted January 28, 2009 Funny he should learn his history, his party did away with the national Bank way back when. Link to comment Share on other sites More sharing options...
Clyde Posted January 28, 2009 Share Posted January 28, 2009 How is this supposed to help? The logic seems to be that if the govt is the "owner" it will free up money to be loaned which will stimulate the economy. Banks just aren't lending right now and that's probably the biggest issue with the stalled economy. Link to comment Share on other sites More sharing options...
cch5432 Posted January 28, 2009 Share Posted January 28, 2009 The logic seems to be that if the govt is the "owner" it will free up money to be loaned which will stimulate the economy. Banks just aren't lending right now and that's probably the biggest issue with the stalled economy. I just don't see it (I get what you are saying, but I hate the misused logic). Why would government ownership result in freed up money? Because they can print it? Everyone knows the government is operating at a huge deficit. Link to comment Share on other sites More sharing options...
Clyde Posted January 28, 2009 Share Posted January 28, 2009 The govt will not take over banks. Link to comment Share on other sites More sharing options...
NEXT Posted January 28, 2009 Share Posted January 28, 2009 The govt will not take over banks. You reading the same article or just refuse to see what is being talked about? I am dead serious with that question. Link to comment Share on other sites More sharing options...
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