In effect, they're already nationalised.
Where it not for the idea that the US Govt will not let the remaining banks fail (through all manner of insuring and temporary purchase above market value schemes), they'd be dead now. The final decision as to what happens to all of the large banks in the US rests solely with the US govt, no matter how much one or the other of them squeals that they're fine... Everyone who looks at their leveraging figures knows that they are not. (Wells was the least leveraged in the US if memory serves, at least on its own books, with around 1:30 ratio. 3.3% losses and it's entire capital base has been wiped out. Case-Shiller today reports house prices down between 15-20% on average. No math(s) required.)
If the state is calling the tune then that, chaps, is nationalisation.
This would all be solved sooner if the banks were formally taken under state control, purged, broken up into much smaller pieces and sent back out into the world anew.
Also, you'd have a lot more control over what these fuckers were up to. It seems one or two of the tarp recipients simply took their cash and doubled down. No joke.
__________________
"I do not agree that the dog in a manger has the final right to the manger even though he may have lain there for a very long time. I do not admit that right. I do not admit for instance, that a great wrong has been done to the Red Indians of America or the black people of Australia. I do not admit that a wrong has been done to these people by the fact that a stronger race, a higher-grade race, a more worldly wise race to put it that way, has come in and taken their place." - Winston Churchill, 1937 --{ORLY?}--
|