Woke up this morning bleary-eyed from a horrible case of pink eye. But the old eyes worked well enough to catch the sight of Yves Smith‘s byline at The eXiled. The Naked Capitalism author has a piece on what she calls “Tarp 2.0.:”
Washington DC appears to be readying itself for a repeat of the TARP, namely, the passage of unpopular legislation to appease the Market Gods (and transfer even more income from ordinary Americans to the Masters of the Universe). It isn’t yet clear whether this drama will be played out via generating bona fide financial market upheaval or mere threat-mongering (the Treasury market seems pretty confident that well-trained Congresscritters will fall into line). But unlike the TARP, which was a classic example of well-placed interests finding opportunity in the midst of upheaval, this reprise is a far more calculated affair.