--avoid the stigma of socialism--
In the US we are hoist on the pitard of our own demonization of the term,--and our rather expansive inclusion of just about all social and economic activity that isn't overtly neoliberal, Chicago-style pillage.
What? No losers? Must be a socialist policy!
But it remains incredible to me that in so much of Western Europe, with so many good object lessons of good results of "socialist" policy ideas, the demonization is almost as complete, it seems. Capitalism searches out the darkest corners of human potential, and mainlines them.
Given the extent to which US citizens have been propagandized on the evils of nationalization, I think that this plan might be an easier sell. It could be sold as an interim, cheap but effective step to save the real economy while maintaining the integrity of the Fed, (such as it is!) It would perform its stated purpose far better than Paulson's stupid $700 billion fat cat bail-out. Unfortunately, it is unfeasible until there is a new administration. As the Dutch said while fighting the Spanish: "It is not necessary to have hope in order to persevere."
