What Needs To Be in the Bailout

From Tanta:

What I really really like is the idea of subjecting CEOs to the same petty humiliation everyone else gets treated to. I suggest that for every separate asset these CEOs sell to the government, they be required to write a Hardship Letter over a 1010 warning (that’s a reference to the statute forbidding lying in order to get a loan) explaining why they acquired or originated this asset to begin with, what’s really wrong with it in detail, what they have learned from this experience, and what steps they are taking to make sure it never happens again. Furthermore, the Treasury Department will empanel a committee of the oldest, most traditional, and bitterest mortgage loan underwriters–preferably those downsized to make way for automated underwriting systems–to review these letters and opine on their acceptability.

What’s good for the goose…

I also like a rule mandating executive compensation cannot go over a certain level as compared to the employees.  No loop holes on this either.  Pay, options, fringe benefits–everything.

And to paraphrase Krugman, “There may be no Atheists in Foxholes, but there sure aren’t any “free market” types during a financial melt down”.

Update, via Balloon Juce

You have to be kidding:

“A lot of those people will have to sell their homes, they’re going to cut back on the private jets and the vacations. They may even have to take their kids out of private school,” said Frank. “It’s a total reworking of their lifestyle.”

He added that it’s going to be no easy task.

“It’s going to be very hard psychologically for these people,” Frank said. “I talked to one guy who had to give up his private jet recently. And he said of all the trials in his life, giving that up was the hardest thing he’s ever done.”


Atlas shrugs, and they all go crying?  No sympathy.

One Community Comment, Facebook Comments

  1. redstateblues says:

    I hadn’t read this till now Nine House, thanks for posting it.

    I usually joke about how all of the people who make the most are “hurting”, but I didn’t realize that they’re the ones who actually believe it’s true.

    That quote about selling the private jet has got to be one of the most shameful, horrible things I’ve ever read.

    This is why they are afraid of Obama…they might have to get rid of their luxury car and buy something more economic! Gasp!

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