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Why do you think the Landesbanken, the KfW, and the Sparkassen don't have the expertise to give credit to corporations? State owned banks count for ~1/3 of all banking activity in Germany. These banks can simply get new equity by the gov't to expand there operations.
And on some political items, e.g. EADS stocks, the gov't has the expertise it needs.
On other, very big items, probably foreign banks have the expertise. Sound credits may simply be sold to other banks.

I don't say there wouldn't be temporary problems, but I'm pretty convinced, that one can let DB fail, without getting too much sustained trouble - although probably if DB is just some dozen billion short of money, one would first try to rescue them.
I would definitivly disagree with any plan to back the DB debt fully by the gov't.


Der Amerikaner ist die Orchidee unter den Menschen
Volker Pispers

by Martin (weiser.mensch(at)googlemail.com) on Mon Sep 22nd, 2008 at 11:24:03 AM EST
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