This is a bit off our normal beat, but worth marveling at.
With the DOW off over 500 points yesterday, Lehman in bankruptcy, the Fed rescuing A.I.G. tonight, the viability of WaMu and others institutions in doubt, Fannie and Freddie placed in conservatorship, a major money market fund halting redemptions, it might seem like the credit crisis is spiraling out of control.
And there are definitely more problems to come.
So it seems that we just nationalized ourselves some banks by accident. Socialism!
First impression – so the US Government now owns a big chunk of the financial industry, eh? This can only increase the power Chris Dodd. All glory to the Dodd!
Seriously, though. Can anyone more informed than me help explain? This would be a good time for, say, a Brandeis Econ Professor to drop by and teach us what the hell is going on.