That Guy on 01 October 2008
well then again, floating a bond would reduce the available money supply by 700 billion dollars.
that opens up the possibility of decreased investment in the private sector, in turn lowering wages and jobs, which also in turn makes it harder for people to pay off their debts.
you could sort of counteract that by decreasing the federal interest rate; but these things all have different time lags and could make the economy more volatile than it already is.
The best way I think is to have some private investors swoop in and bail out the companies so the government doesn't have to to jack. i'd just be wary of giant monopolies then.
