> nationalize the big banks. That would be a good idea. If bank is too big to FDIC to absorb and "too big to fail" and it fails it becomes Treasury owned overn

> nationalize the big banks. That would be a good idea. If bank is too big to FDIC to absorb and "too big to fail" and it fails it becomes Treasury owned overnight. For example Paul Krugman agrees. https://www.nytimes.com/2009/02/23/opinion/23krugman.html https://www.nytimes.com/2009/02/23/opinion/23krugman.html >What Alan Greenspan, the former Federal Reserve chairman, and a staunch defender of free markets, actually said was, “It may be necessary to temporarily nationalize some banks in order to facilitate a swift and orderly restructuring.” I agree. >The case for nationalization rests on three observations. >First, some major banks are dangerously close to the edge — in fact, they would have failed already if investors didn’t expect the government to rescue them if necessary. >Second, banks must be rescued. The collapse of Lehman Brothers almost destroyed the world financial system, and we can’t risk letting much bigger institutions like Citigroup or Bank of America implode. >Third, while banks must be rescued, the U.S. government can’t afford, fiscally or politically, to bestow huge gifts on bank shareholders. ... >Still, isn’t nationalization un-American? No, it’s as American as apple pie.