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Chris Dodd FTW

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September 22, 2008 – Comments (8)

And that's not something I say very often.

http://online.wsj.com/article/SB122209290438362805.html

Sen. Dodd's plan would not allow the Treasury Department to purchase any assets "unless the Secretary receives contingent shares in the financial institution from which such assets are to be purchased equal in value to the purchase price of the assets to be purchased."

I don't agree with some of the rest, like tacking on an executive compensation bit. It's not that I think slimeballs execs should get a free pass, or be able to slither away with their bazillions, it's just that if your goal is to buy up a ton of lousy debt, exec comp is too complex to be handled here.

Nice to see Congress grow a spine, slow Paulson down, and refuse to sign the blank check -- at least for now.

8 Comments – Post Your Own

#1) On September 22, 2008 at 1:06 PM, motleyanimal (80.52) wrote:

McCain/Palin

A  MOOSE  IN  EVERY  POT!

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#2) On September 22, 2008 at 1:33 PM, ceejayoh (62.79) wrote:

moose in Every Pot! - LOL That's a good one.

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#3) On September 22, 2008 at 1:40 PM, zygnoda (27.40) wrote:

Do they taste like chicken?  I'd love one if they do..

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#4) On September 22, 2008 at 1:49 PM, TMFBent (99.82) wrote:

they taste like pine needles and swamp.

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#5) On September 22, 2008 at 1:59 PM, DemonDoug (51.73) wrote:

Um, hey SJ, I'm not sure about the final consequence in that but wouldn't that mean that the government would end up owning pretty much the entire banking system?  I mean what is the market cap of the entire financial industry?

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#6) On September 22, 2008 at 2:08 PM, TMFBent (99.82) wrote:

Could be. I don't know that the amount of equity he wants make sense, but for a few days now, I've been saying (easy for me, as I have no responsibility) that an equity kicker as a cost of dumping assets should be part of the plan. That way, the taxpayers can conceivably get some upside from the rescued firms even if the assets they've delivered turn out to be utter crap.

Whether or not it's a controlling or insider stake should depend on just how much toxic waste the company wants to dump, and at what price.

Sj

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#7) On September 22, 2008 at 6:19 PM, FleaBagger (28.72) wrote:

I've got an idea: why don't we just put government in charge of everything except sex? That's the only thing people still don't want government in charge of, right?

Of course, when they control all the banks, health insurance companies, hospitals, media, cars, and all resources and jobs, they probably won't have much trouble getting involved in our sex lives, either.

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#8) On September 22, 2008 at 6:53 PM, TMFBent (99.82) wrote:

Fleabagger, your sarcasm has already been reported to the Office of the Comptroller of Patriotic Head Nodding.

Sj

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