ationalization is the only way to save our biggest banks, said Paul Krugman in The New York Times. Citi and Bank of America could lose far more than they're worth in the next few years, so only the government—not private investors—can keep them afloat. "The longer we live with zombie banks, the harder it will be to end the economic crisis."
"The chorus for nationalizing America's struggling banks is growing louder," said Gerald O'Driscoll Jr. in The Wall Street Journal. But Congress would promptly politicize the seized assets, and government meddling—deposit insurance, access to the Fed's lending—is already part of the problem. Rather than entangling them further, "we need to find ways to extricate banks from government's deadly embrace."
"The argument here is silly," said Michael Silverstein in The Moderate Voice. "Bank nationalization is already well underway. Twenty-five banks were taken over by the government last year and more than a dozen so far this year." So let's add Citigroup and Bank of America to the list—"do it quickly, and move on."
THE WEEK'S AUDIOPHILE PODCASTS: LISTEN SMARTER
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- Don't worry: World War III will almost certainly never happen
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- Watch The Daily Show mock Fox News' confused man-crush on Vladimir Putin
- What the collapse of the Ming Dynasty can tell us about American decline
- Religious liberty should be a liberal value, too
- 10 things you need to know today: March 7, 2014
- Russia's Ukraine invasion is a moral crisis
- The end of academic freedom?
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