Ethics

Bank Bailout Blues

By Ed Brayton

After spending $700 billion on the record (the TARP bailout) and trillions of dollars off the record (Fed emergency loans), is America's banking system in any better shape now than it was a year ago? Some experts say no.

Joseph Stiglitz, the Nobel Prize- winning economist, said the U.S. has failed to fix the underlying problems of its banking system after the credit crunch and the collapse of Lehman Brothers Holdings Inc.

"In the U.S. and many other countries, the too-big-to-fail banks have become even bigger," Stiglitz said in an interview today in Paris. "The problems are worse than they were in 2007 before the crisis."

Full post as published by Dispatches from the Culture Wars on September 15, 2009 (boomark / email).