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Why Obama's Bank Plan Will Fail Economically and Politically: It Socializes the Losses and Privatizes the Gains

Published Apr 01 2009, 09:19 AM by Steven Stark

Joseph Stiglitz hits the nail on the head. Under Obama's plan, taxpayers take the loss, the banks reap the gains. Who but a banking official would support such a scheme? It can't work and, when the public comes to understand it, the political repercussions will be huge.

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