Read the last 15 or so posts at Eschaton about the Obama administration’s new plan to throw ever more money in the money furnace.
They are short.
Krugman:
This plan will produce big gains for banks that didn’t actually need any help; it will, however, do little to reassure the public about banks that are seriously undercapitalized. And I fear that when the plan fails, as it almost surely will, the administration will have shot its bolt: it won’t be able to come back to Congress for a plan that might actually work.
What an awful mess.
Bottom Line: Obama must think that rich people are the economy. Geither certainly does.