How Does One Say "No Mas" in Swedish?

Paul Krugman does not like Geithner's latest scheme to set up leveraged investment vehicles to buy up the toxic assets on bank's balance sheets.  Fair enough, he covered this (as did I) back when the latest iteration was floated a few weeks back.

But as I said at the time - let's end these calls for nationalization, Swedish style.  Sweden played catch-and-release with two banks on the periphery of international finance whose names are unknown to virtually everyone (Was one of them Fältskog-Ulvaeus Bank?  Maybe!  I am sure I've heard of them...).

That hardly demonstrates that the same Congress that embarrassed itself this week on the AIG bonuses has the discipline and patience to oversee Citbank, Bank of America, and a few major regional banks all nationalized at the same time.

And Justin Fox of TIME introduced an alternative view of the same reality - after studying Citigroup's $2 trillion of US and overseas assets, he concluded that FDIC has authority over roughly 25% of the group:

But this would leave an entity (or entities) with about $1.5 trillion in assets and $1.4 trillion in liabilities to be taken over by foreign governments or fail in pretty much the same unruly manner that Lehman Brothers did.

Have fun storming the bank, boys.

I will admit - I am experiencing shock and awe at the level of leverage in the latest proposal (and I am not alone) - I was defending the notion with a hypothetical leverage of 2-1; the leaked plans contemplate leverage of 6-1 (i.e., 85% debt).  If time permits I will present a dramatic example illustrating the problem with the Geithner plan on offer.  But nothing I saw last week could have left people thinking that Congress is poised to oversee some of the largest, most complicated banks in the world.

SUPPLEMENTAL FRETTING:  For practical and especially political purposes money is fungible.  Doesn't it follow that if a borrower from a TARP bank or nationalized bank defaults, they are ripping off the hard-working American taxpayer?  Shouldn't Barney Frank et al haul such a miscreant under the Congressional bright lights?

And if the realization of that possibility takes hold amongst prospective borrowers, does it not follow that TARP banks will have to offer more generous loan terms than their non-TARP rivals?  Default on a non-TARP loan, and at worst it's "See ya in court"; default with a TARP bank and it may be "See ya in Congress".

I am deeply concerned that we don't have the leadership to see us through this.

[end of thread]

Comments

[peter (Lenten Sunday dispensation)]

Axelrod: Look at these latest Rasmussen numbers! We are losing the Whole Foods crowd! Jesus!
Plouffe: How's about we have Michelle say she like Acai berries?
Rahm: Why don't we start a &*(OP&*^ organic garden in front of the (*&^&^ white House?
Axelrod: Awesome! We can have Michelle pose with a hoe in her hand! Someone go to Smith and Hawken in Georgetown and find out which end of a hoe you're supposed to hold.

[jimmyk]

Careful, Peter, "hoe" has joined "niggardly" on the list of forbidden words.

[verner]

Ya know, I know virtually NOTHING about economics, but I bet in five minutes I could come up with an economic plan superior to Obama's. Let's have a go:

1. Fire any and every person in the administration that had anything to do with CITI Goldman and AIG--namely Summers, Geithner and Holbrooke.

2. Put a cap on federal spending so we don't end up with that 9 trillion dollar debt.

3. Publish the REAl numbers for the uninsured--a figure that eliminates all illegals, indigents who are eligible already but are too lazy to sign up for medicaid, and those who can afford coverage but decide not to buy it. Then we'll see who wants to spend 1.5 trillion on a national health plan.

4. Tax credits for small business so that they can hire people.

5. A cut in capital gains to get the market going.

6. Infrastructure spending--especially for nuclear power.

7. Punt carbon credit nonsense.

8. Inform the public via the internet where TARP money is going in advance. No federal funds for bonuses.

9. Up defense spending. We need it, and besides, the army does a better job of building personal responsibility and teaching job skills than community college.

10. Veto any omnibus bill with earmarks. Let them put the pork in a separate bill.

11. No mortgage bailouts for deadbeats. It will be painful for a while, but let the market handle it.

[TCO]

You're a fucking idiot JOM. Stop defending the bailouts. Stop acting surprised when the dangers that bailout opponents said would happen do happen. Just fucking stop socializing things and chicken littling and transferring working people's money to rich Democrats like Buffet and the Goldman boyz. Just stop!

[verner]

I looked at the schematic for Michelle's garden of Eden--mostly a bunch of butternut lettuce and herbs. No corn, green beans, squash. cucumbers or tomatoes as far as I could tell. And certainly no...cantaloupe.

[Extraneus]

Yep, looks like he's still hanging in at +4% approval index, but from the chart it appears that's only because the latest disapproval number decreased along with approval.

There's even a link to predict what the index will be at the end of the first 100 days (requires sign-up). I don't see how those trends get turned around in the next 40 days (disapproval tripled in 60), so I'm going with -4%.

And once that chart crosses over, the real fun begins.

[verner]

Ex, in the last week he's had MoDo, Frank Rich, Maxine Waters, John Conyers and Michael Wolff say he's utterly clueless--and this is an incomplete list to say the least.

What are the rest of them saying in private?

The polls just have not caught up.

Boy, can't wait to see Gibbs on Monday. He's going to look like a constipated hound dog...

[Dennis D]

Lets not forget the Dems rushed this stimulus bill through without reading it. If they admit to reading it they are guilty of supporting AIG bonus protections. They cannot have it both ways.

[Old Lurker]

"3. Publish the REAL numbers for the uninsured--a figure that eliminates all illegals, indigents who are eligible already but are too lazy to sign up for medicaid, and those who can afford coverage but decide not to buy it. Then we'll see who wants to spend 1.5 trillion on a national health plan."

AND the group of employees who lacked insurance while between jobs, but who had insurance at the beginning of the year, and who had it at the end of the year, but were scored as "without" because they briefly lacked it.

[Old Lurker]

Ext, I still say the strongly approve line will level off in the low 30's since that seems to be the core group of certifiable idiots, proven through thick and thin of scandal after scandal.

[Porchlight]

OL, the strongly approve line may level off but the strongly disapprove line still has a lot of upside as weak disapproval moves to strong disapproval. The trendlines on the chart are heading toward collision in about 1-2 weeks, I think.

The key indicator is that critique has spread to the cultural left, as verner pointed out. Rocky terrain ahead for O.

[DebinNC]

AP: The province of Quebec lacks a medical helicopter system, common in the United States and other parts of Canada, to airlift stricken patients to major trauma centers. Montreal's top head trauma doctor said Friday that may have played a role in Richardson's death.

... "driving to Mont Tremblant from the city (Montreal) is a 2 1/2-hour trip, and the closest trauma center is in the city. Our system isn't set up for traumas and doesn't match what's available in other Canadian cities, let alone in the States," said Tarek Razek,..

Where nationalizing healthcare may lead us..

[verner]

Tapper twitter, the Alynsky thug plan begins!!!!

Supporters of President Obama's went door-to-door in all 50 states to drum up support for the president's budget plan yesterday. The website of the former campaign -- now "Organizing for America" -- has some photos and accounts.

Some conservative activists were out exercising their freedoms as well this week, in "tea parties" from Orlando to Lexington. Glenn Reynolds at Instapundit has a round-up. Treasury Secretary Tim Geithner meanwhile is preparing to introduce the plan to deal with the toxic assets in the banks.

What do you make of all this? Did you participate in any of the weekend events?

[Jane]

Verner,

I can do it even more succinctly:

THROW THE BUMS OUT!

[verner]

Jane, I twitter you!!! smooch smooch

[TCO]

Never forget that Bush, Paulson, McCain and RINOs like kim and JOM suppoerted bailouts. They want to kvetch and bitch about hoe their bailouts are different. But theyu were warned about the slippery slope. And they were wanrned that their actions were both unsound economics (100s of academic economists speaking out against it) as well as lousy from a policy standpoint of promoting freedom and responsibility. But they went for it. They ate the crap sandwich. They knifed Palin in the back. They knifed Reagan in the back. They knifed America in the back.

[Old Lurker]

Porch, the Strongly Disapprove line...the goal... is that it could reach 100-Core Idiots...or say 100-33=67. Ah wishful thinking I suspect but we can dream.

:-)

[Old Lurker]

"Supporters of President Obama's went door-to-door in all 50 states to drum up support for the president's budget plan yesterday...What do you make of all this?"

Hitler Youth Corp comes to mind.

[Cecil Turner]

TCO, if you really hate the bailouts, Barney Frank wrote them all. Chris Dodd helped, and Nancy Pelosi and Harry Reid drummed up the majority of the votes necessary for them to pass.

Why not fume at them just a bit? Can't you find a current Democrat officeholder that actually bears some responsibility? Or are they all just slipping down that slope? Or . . . is it possible . . . that you're just an underbridge water-dweller heaping venom on Republicans whilst pretending to be one of 'em?

[Charlie (Colorado)]

I am deeply concerned that we don't have the leadership to see us through this.

I am, however, reassured that they seem to be too incompetent and ineffectual to actually do much of anything.

[Old Lurker]

Wasted breath, Cecil

[Porchlight]

Ah wishful thinking I suspect but we can dream.

OL - Yes, we can! For the short term I think Extraneus' projection of -4 approval index at the end of 100 days sounds about right.

[Charlie (Colorado)]

You're a fucking idiot JOM.

Jesus, TCO, sober up. I know it's the weekend, but it's only eight in the morning.

[Charlie (Colorado)]

Boy, can't wait to see Gibbs on Monday. He's going to look like a constipated hound dog...

So you don't expect much change, eh?

[TCO]

Because I expect that from them! But when I hear fuckers like on here talking about (and I did hear it in October) that it didn't matter if the economy was bad since Democrats would be blamed, it makes me sick. That whole mind set.

Plus add in the complete cluelessnes both on economics AND on ideology. What the fuck use are they. Go join the Democrats. Stop fouling up my Republican party.

[TCO]

You had a chance to use the anti-bailout issue politically, Cecil. That chance was in October. McCain would have been elected in a landslide (he was already ahead and the issue had huge traction), but instead he went with Bush. And you all RINOs gave air cover for the Democrat nationalizers. Can you even beleive we are talking about NATIONALIZATION! Jeezuz Christ. You all have lost your way.

[TCO]

I mean it's ROCK SIMPLE. Republicans blew the opportunity to make a strong anti-bailout stance. Sitting here and trying to blame Dodd or the like is a mug's game. I said it then...was proven right...and here we are. You idiots just don't want to admit I'm right...because it's the hardest thing in the world for an internet person to do. Well have fun. You're crucifying freedom and America and trillions of dollars of hard earned money. But at least you can hang out with Eric Cantor and the other members of the Republican Congress that could care less about actual free market conservatism and just want to earmark and pork like a bunch of....Democrats.

[Jane]

Verner,

I saw that. Of course I have no idea how to twitter back.

[Old Lurker]

If you read not other LUN today, read VDH.

Stolen from Powerline, which is also worth a read.

[Old Lurker]

Porch: "OL - Yes, we can!"

You are so bad. Go to church.

[Old Lurker]

Jane, does FWDAJ reach the Cape & Islands?

[Pofarmer]

Verner.

Your plan is perfect, which means it doesn't have a prayer.

[Extraneus]

Thanks for the VDH link, OL.

[verner]

Thanks Profamer--I know, not a snowball's chance in hell.

[Cecil Turner]

Sitting here and trying to blame Dodd or the like is a mug's game.

Or at least it is if you're a Democrat pretending to be a Republican.

Stick a harpoon in it already. I detest liars . . . and recalcitrant ones are the worst. The idea that you can weave a net of deceit and "teach s***heads" is even more morally bankrupt than pretending Republicans are responsible for the current Democrat spending spree. And "tedious" doesn't even come close to describing seeing this vulgar stupidity in practically every thread.

Good luck getting some porkulus dollars to help with your "performance art."

[TCO]

As expected...

[TCO]

Let me know how that dog hunts, Cece. Expect it will do about as well as the October "avoid Hoover tag" appeasement strategy did. The funny thing is that you're not only throwoing your principles away...but that it doesn't even win elections. Pathetic. Reminds me of Bush the elder breaking his new taxes plegde. There's a reason why Reagan dispised that family...

[Cecil Turner]

Reminds me of Bush the elder breaking his new taxes plegde.

Imagine that. Does anything not remind you of something that redounds to a Republican's detriment? And color me unimpressed with any "principles" argument coming from a troll.

New deficit estimate is 1.85 trillion. It'll go up. And of course that's not because of anything the Democrats are doing, it's all the fault of the Republicans, and that "slippery slope." Riiiight.

[Jane]

Old Lurker,

The cape and the islands can hear the live streaming here at the LUN.

Are you on the cape or the islands? One of my best friends from Nantucket just left here.

[JM Hanes]

TCO:

There are only a couple of pro-TARP folks who are even doing much posting at the moment, so you're just screeching into the void and annoying the grown ups. McCain certainly wussed out but he had next to zero traction in Congress, and he never had anything remotely resembling the electoral college mojo you've persuaded yourself you were looking at. I'm not sure why you think it's your Republican party in the first place, with that massive Utopian chip on your Libertarian shoulder, but if it were, you'd be a recruiter's nightmare.

You apparently don't recognize a devil's advocate when you see one either. You should be thanking kim for indulging you when nobody else wanted to put up with your tirades.

[verner]

Just a note to JOMers, if you want to be friends on facebook, just do a search on my name (first Jennifer, y'all have the rest..) and I'll add you to my list.

Charlie and Hit are already my BFs.

And Clarice, wish you would twitter so I could have a heads up when your articles appear at PM or AT! It's sooo easy!

[Old Lurker]

Jane "Are you on the cape or the islands? One of my best friends from Nantucket just left here."

Not to blow my creds with my JOM pals...but always Aug & Sep on Nantucket.

[Gmax]

Just a reminder there is code available that makes pests like hewhoshallnotbenamed totally and blissfully Invisible. No need to scroll by, they just dont show up on my screen. Its better than blood pressure medicine and took seconds to invoke. I forgot who here put me on it, but I am sure someone else will remember.

If a lying liberal falls in the forest and we ignore, is any sound made at all?

[verner]

Hey, maybe we can help Tapper with this!!!

His latest twitter:
working on a way to explain the Admin's very complex plan for toxic assets...

[Old Lurker]

Jane, since I live in Maryland and spend time on Nantucket, my friends correctly observe that I cannot afford to die at either house. As the "tax matter partner" in my business, I am very aware how much better my Wyoming partner is treated by the state tax nazis than I am, or even how much better off is my other partner who lives less than 1 mile from me...but over the Potomac River in Virginia. We were excited last fall to see how much progress was made in Mass to repeal the personal income/estate taxes, but alas were not surprised at the outcome. Ah to be like Clarice, having Florida a plane trip away.

[JM Hanes]

Old Lurker:

Didn't Nantucket once entertain the idea of seceding from Massachusetts?

[TCO]

He was ahead by 5 percent. The base was energized. And all the polling showed (and shows) the public was ANTI-BAILOUT. A ballsy anti-Bush bailout would have been exactly the right thing to do politically AND economically. Instead he was a deer in the headlights who lacked consistent principles OR sharp econ understanding (we are talking about a guy who was bottom of his class at USNA).

[sbw]

Try this:

One of my computers has Greasemonkey and Trollblocker set up to vaporize TCO. The other had had Trollblocker turned off for a time.

Clearly it is time to turn trollblocker back on. Even people with Tourette's can manage to restrain their coprolalia in their writing. TCO simply doesn't care to do any better.

Bye, TCO, you add nothing of value to my life. You're gone.

Posted by: sbw | February 27, 2009 at 11:41 AM

[Old Lurker]

JMH, yes, but the new master would be RI, and that is some improvement, but not much.

[PD]

My Senator Russ Feingold wants to do this:

FEINGOLD, MATHESON PUSH TO END AUTOMATIC TAXPAYER-FUNDED BONUSES FOR CONGRESS

Good idea. I do note that he's using the word "bonus" for what is really the automatic without-a-vote Congressional pay raises. I guess he figures that wording will make it harder to vote against the measure, although I'd say it's a bit duplicitous to use this phrasing.

I wrote to thank him and point out that he'll need to convince Tammy Baldwin over in the other chamber to support it. She thinks automatic raises are a good idea.

[JM Hanes]

Old Lurker:

LOL! My great aunt lived on the Cape. We always used to spend Thanksgiving there. We used to go down to Truro to walk the beach ~ without a soul on it ~ and then to P'town for steamers. Years later I drove down in the summer and was stunned at the traffic and at how many people there were!

[clarice]

So, old lurker, you think when my pulse gets thready I should just hop on the plane and die in Fla? Heh.
If you live in the Md burbs you are only a short plane ride away , too, As for Nantucket, think of a suitable limerick.

[clarice]

verner, that's so far above my capacity I cannot tell you, but I think both have rss feeds.(Whatever the heck that is.)

[Old Lurker]

But Clarice, I can walk the beach up north wearing that coat you designed with all the diamonds in the hem...it stands out in Florida so!

Seriously, lots of our friends who used to have real jobs and kids in schools and such, but who liked summers on Nantucket, have given up the houses in the burbs (of DC, NY, or Boston), and have house #2 in Florida now. We've been visiting them down there this winter just to see what the fuss is about, and I think our eyes are clearing! On the last trip we met with a tax lawyer, and based on what he said, yes indeed when your time comes you need to pull a Howard Hughes and get on that plane! Or else you will get nailed by DC, and that would not be pretty. On the other hand, in Md, they first tax the dead guy, and then they tax the recipient...

[Jane]

Didn't Nantucket once entertain the idea of seceding from Massachusetts?

I think that is an ongoing theme. The island has changed since I started visiting in the '70's. I rarely go on season OL but if I do this year let's meet at the Brotherhood for cocktails.

[clarice]

Check the Sarasota area because it is a real treat..kinda like Nantucket with palm trees.
I suppose at some point in time --even if we keep this house--we will establish Fla as our principle residence..and travel between here, there and my son's home in California.
I agree it is stupid to continue having a high tax state as your principle residence when you age.

[Charlie (Colorado)]

I'd say it's a bit duplicitous to use this phrasing.

Man, I'd say being Feingold being just a bit duplicitous improves the average for the whole body.

[Old Lurker]

heh. One of my buddies is one of those two house guys who pays a LOT of attention to personal tax details. Has a big boat that lives at the dock in front of his Annapolis house in summers, or else at the dock in the cloned setup he has in Florida. Now the Annapolis house is upstream of a bridge, and the drawbridge has to be raised for him to get the boat through. He bought that house precisely because he was aware the draw bridge operators log the comings and goings of his boat, and he counts the days so there are exactly 182, NOT 183, days between his arrival from Florida and his later departure to go back. His accountant loves the paper trail.

[Old Lurker]

That's a date!

Come first week in September...crowds will be gone.

[Old Lurker]

"I suppose at some point in time --even if we keep this house--we will establish Fla as our principle residence..and travel between here, there and my son's home in California."

Same conversation we have everyday, Clarice. I can't bear the thought of not having this house which we bought the summer we got married in 76 and expanded and rebuilt with each kid or with newly earned money so it is a roadmap of our lives... can't get my head around giving it up. But I am looking at using the current down market to move it to the kids at an arguably low valuation to get it out of the estate mix, then renting it back from them. Might be an interesting way for you to start funding Lab School tuitions in LA.

:-)

[Porchlight]

I suppose at some point in time --even if we keep this house--we will establish Fla as our principle residence..and travel between here, there and my son's home in California.

My parents do six months plus two weeks in Boca, the rest of the time in MN. However, the property taxes in FL can be steep.

[Porchlight]

You are so bad. Go to church.

Tee hee - at JOM, "bad" is the highest of compliments! ;)

OT, Happy Mothering Sunday (Laetare Sunday)! I was going to make PeterUK's Simnel Cake (traditionally made in England for the third Sunday in Lent a/k/a Mothering Sunday, the predecessor of Mother's Day). But I realized that with dried fruit, citrus zest, mixed peel and almond paste, nobody would eat it but me. Maybe I'll make it for Easter instead.

[Old Lurker]

I knew it was a high compliment here, Porch. (Bad is being quiet today...) Thought you'd appreciate it... Your Laetare Sunday wishes drove me to Wiki to refresh my memory. Thanks! I learned something.

[clarice]

I don't think they're steeper than they are in D.C.
Of course, there are other ways to do this..I suppose one could dispose of much of the estate in a trust not located here, but I haven't really looked into this seriously yet.
As there is no income tax in Fla and as one's residence is free from disposition to satisfy debts lots of people in trouble put all their money into big ass houses there and evade income tax and creditors.

[PD]

Man, I'd say being Feingold being just a bit duplicitous improves the average for the whole body.

Heh.

Although I disagree with him on almost everything, I used to think that he was reasonably principled. Then Bush was elected President and Feingold became increasingly strident and shrill about "abuse of power by the Executive" and such, all imaginary in his own mind. Now we have a President who really is overreaching and Feingold hasn't said a peep that I'm aware of.

At least he still is much of time time against wasteful spending. He's been opposed to a lot of the "stimulus" spending. And he voted against Geithner. I'll give him that.

[Chris]

The answer to your question How Does One Say "No Mas" in Swedish?: INGET MER!!!!!NO MORE!! NO MAS!!!!! INGET MER!!!!!!

Si, Se puede?

well, NEJ! Det får du INTE!!!!!

Yes, we can? NO, you can't(have it)!

[sbw]

No, no podemos.

[Robopollflyer]

Cracky don't like no Hobos, especially those British ones that outsmarted him on that social thing.

[Kymberlie R. McGuire]

This is TypePad Support testing your comments. Please feel free to delete this.

[sbw]

Typepad coulda beena contenda!