are lukewarm at best. Today’s Wall Street Journal op-ed (“The Geithner Asset Play“) raises the appropriate objections. The goal of the plan, which is to rid banks’ balance sheets of unmarketable assets, really is something that has to be done if credit relations are to be restored. But it seems that Geithner wishes to accomplish this, once again, on the backs of the taxpayer. Why not try something such as was suggested by Larry Kudlow (see my blog here), whereby mark-to-market accounting rules are eased — something which will cost the taxpayer nothing. John Berlau notes that Geithner’s plan mentions nothing about mark-to-market.
Furthermore, Paul Krugman’s running commentary on the plan (“The Conscience of a Liberal“) is well worth perusing, even if sprinkled — liberally — with really funky liberalism.