http://www.nakedcapitalism.com/2008/09/banking-expert-bailout-not-necessary.html "The reason solvent banks have a problem raising capital, or selling themselves to a stronger bank, is that they set their price too high, as did AIG. As an aside, I am glad to see AIG's shareholders getting whacked by the warrants associated with the Fed's taxpayer's loan to AIG. There is absolutely no need for the taxpayer to subsidize banks so they can stay independent, provided no barriers are erected to prevent new entrants into bank or specific banking markets."
CEOs and boards work for shareholders they wont sell themselves at firesales. the only way you can force them is to suspend private property rights in the US. paulson plan at least is a way to getting the job done(recap the banks) and still maintain private property rights intact. but of course the democrats dont care about that. they dont care about a significant downturn in the economy and soaring unemployment when some ceo gets to make millions
SUBJECT: REQUEST FOR URGENT BUSINESS RELATIONSHIP DEAR AMERICAN: I NEED TO ASK YOU TO SUPPORT AN URGENT SECRET BUSINESS RELATIONSHIP WITH A TRANSFER OF FUNDS OF GREAT MAGNITUDE. http://bigpicture.typepad.com/comments/2008/09/request-for-urg.html