A note from Stan

An email from Credo, a progressive activist group, alerted me to an alternative to the currently planned economic suicide pact, the Emergency Economic Stabilization Act of 2008.

Oregon Congressman Peter DeFazio has introduced the “No BAILOUTS Act” (Bringing Accountability, Increased Liquidity, Oversight, and Upholding Taxpayer Security), based on a suggestion from former FDIC chair William Isaac “who recalled that in the 1980s Congress enacted a “net worth certificate” program – which allowed the federal agency to shore up the capital of weak banks to give them more time to resolve their problems – and the FDIC resolved a $100 billion insolvency in savings banks for a total cost of less than $2 billion.”

There’s more at The Nation.

We needed a little more cud to chew on, didn’t we? And two billion is a more reasonable number than 700 billion.