This is probably the best response I’ve yet heard to that CNBC blowhard’s rant last week blaming homeowners for the mortgage meltdown.
Author: hankkalet
Hank Kalet is a poet and freelance journalist. He is the economic needs reporter for NJ Spotlight, teaches journalism at Rutgers University and writing at Middlesex County College and Brookdale Community College. He writes a semi-monthly column for the Progressive Populist. He is a lifelong fan of the New York Mets and New York Knicks, drinks too much coffee and attends as many Bruce Springsteen concerts as his meager finances will allow. He lives in South Brunswick with his wife Annie.
Taxpayers and shareholders
The Obama administration seems to be moving in the right direction, though it is only inching that way. Today’s announcement on the bank bailout — essentially turning the federal government into a major shareholder — should have come a few weeks ago. It basically is a
road map under which the federal government could, if it wanted to, demand a major and possibly a controlling stake in systemically important banks like Citigroup and Bank of America.
The 20 biggest banks will be required to undergo a new “stress test,” starting Wednesday, which is intended to determine whether each bank has enough capital to survive if the economy spirals down even more than most forecasters already expect.
Treasury officials plan to introduce details of the stress test on Wednesday, and it is expected to take several weeks to complete.
If a bank comes up short, Treasury officials said on Monday, the government will require it to raise more capital. If the bank cannot get that money from private sources, the government will demand that the bank swap out the government’s existing, nonvoting preferred shares — issued during the first phase of the Treasury’s $700 billion financial bailout program last September — and replace them with new preferred shares that are convertible to common stock with voting rights.
The requirements will apply both to banks that receive additional money in the months ahead and to banks that have already received money.
EPA chief gets kudos
The New York Times praises Lisa Jackson, the East Windsor resident who heads the U.S. Environmental Protection Agency, for hitting the ground running and beginning to reverse course on the Bush environmental legacy. Some New Jersey environmentalists had been critical of her when she was state environmental commissioner, with good reason, but she is off to a good start. Let’s hope that, with a stronger commitment from her boss (President Barack Obama seems more committed to environmental issues than Gov. Jon Corzine), she can continue to make real strides.
Merging agendas
Maybe the difficult job of crafting a budget for small towns like Hightstown and Bordentown is starting to sway local officials to consider doing more than complaining.
Hightstown is ready to study consolidation with East Windsor and Bordentown is looking at a police merger. Where will these studies lead? It’s too early to know, but the fact that the discussions are happening is a good sign for New Jersey.
Doggie diary: The story of Rosie and Sophie A nap after training
Sleeping dogs are good dogs. They trained this morning and did well, but now are tired.
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