Thursday, January 15, 2009

$25 billion is not enough...

for Bank of America. Although they said they didn't need it back in September, they took $25 billion from TARP and now are back looking for more, which Mr. Paulson, being a good guy, will likely give them, as it's needed to enable BofA to close on the Merrill deal and, using the current cliche, they are too big to fail.

It is amazing that we are spending so much on companies that are essentially dinosaurs; they were king of the hill for many years but could not adapt to the new world. Think GM. What is wrong with letting these companies declare bankruptcy. The good parts of them will survive albeit under different - and likely smarter - ownership.

No comments: