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Crooked Timber (Free subscription) | 10/10/2008
I suggested a couple of days ago that the partial nationalizations of national banking systems that we’re seeing,1 was likely to be a temporary phenomenon, albeit one with long lasting implications for market actors’ expectations. I’m beginning to have second thoughts; I now suspect for two reasons that bank nationalization may be a lot harder [...]
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3quarksdaily (Free subscription) | 10/10/2008
Paul de Grauwe in the FT: The essence of what banks do in normal times is to borrow short and lend long. In doing so, they transform short-term assets into long ones, thereby creating credit and liquidity. Put differently, by...
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Cardboard Spaceship (Free subscription) | 10/10/2008
Chap in the FT suggesting that the way to get banks lending to each other again is to take them all over, and nationalise them. That's effectively what Scandinavia did in the 1990s to tidy up their crisis.Only there it...
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Vino's Political Blog (Free subscription) | 10/10/2008
Things do seem to be turning upside down! This article in the FT calls for a temporary full nationalisation of the banks to get out of the current spiral of lack of banking confidence. I never thought I would see a writer in the FT call for such sweeping nationalisation (albeit he only wants it to be temporary). This is indeed an interesting time.
