Here's an idea ..

In the Financial Times Raghuram Rajan, Professor of Finance at the University of Chicago’s Graduate School of Business, proposes that the government force banks to raise capital from within (i.e. from shareholders) instead of simply throwing taxpayer money into a bottomless pit. His position is that there is too little capital (and by the same token too much debt) in the financial system and that simply trading their worst assets for government money and thereby passing the debt onto the government still does not go far enough to prevent more problems from popping up. Interesting idea to say the least.

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