I'll throw in one other off-the-wall suggestion on the holdback of further bail-outs at present: they can't sell enough bonds. The Chinese, Saudis, etc. may have told them that they're not in the market. The Chinese, for one, have decided to use what's left of the US$ credibility to finance their huge infrastructure, public-works projects. paul spencer
"--use what's left of the US$ credibility to finance their huge infrastructure, public-works projects."
Paul, to fail to prop up the bond zombie will immediately trash that cred. The time frame would seem to favor converting cash held into commodities, real estate--real-world assets- while keeping the corpse moving enough to sustain the illusion. But that's an awful lot of real assets. Who could miss a movement that size? How could it be hidden? Look there, I think. Grabbing what you can, as John Ruskin said, isn't any less wicked when you grab it with the power of your brains than with the power of your fists.
