Not very. Speaking to reporters today, newly confirmed Treasury Secretary Tim Geithner all but dismissed the idea outright: We have a financial system thatJul 31, 202044352 Shares704001 Views
“„We have a financial system that is run by private shareholders, managed by private institutions, and we’d like to do our best to preserve that system.
“„The worst thing about bank nationalization is NOT that the government will do a bad job of banking. Everyone does a bad job at banking. The worst thing is that it places untold trillions of dollars of new liabilities on the shoulders of a federal government that already is borrowing well over $1 trillion a year.
“„So far, President Obama’s top aides have steered clear of the word entirely, and they are still actively discussing other alternatives, including creating a “bad bank” that would nationalize the worst nonperforming loans by taking them off the hands of financial institutions without actually taking ownership of the banks. Others talk of de facto nationalization, in which the government owns a sizeable chunk of the banks but not a majority, with all that connotes.