Captial Injection in return for stock
A capital injection in return for stock plan in which the government still gives the $700 billion to the banks but in return for becoming stockholders (owners) in the banks.
Immediately related elementsHow this works
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The Global Financial Crisis »The Global Financial Crisis
How should the US and other governments respond? »How should the US and other governments respond?
Measures to alleviate the immediate symptoms? »Measures to alleviate the immediate symptoms?
Captial Injection in return for stock
Avoids moral hazard »Avoids moral hazard
Capital injection in return for stock fairer for taxpayers »Capital injection in return for stock fairer for taxpayers
Simpler than buying the toxic assets »Simpler than buying the toxic assets
Corporate objection to state involvement »Corporate objection to state involvement
Political objection to state ownership of banks »Political objection to state ownership of banks
Treasury Secretary has capital injection for stock option »Treasury Secretary has capital injection for stock option
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