Here's a concept you never hear in the US, Britian Nationalizes Mortgage Lender
The British government announced emergency legislation Monday to temporarily nationalize Northern Rock PLC amid strident criticism of the move from opposition lawmakers and shareholders in the stricken mortgage lender.
Trading in Northern Rock shares was suspended on the London Stock Exchange as the government made preparations to take the bank into state control after deeming that two private offers did not offer the taxpayer "sufficient value for money."
Prime Minister Gordon Brown said that nationalization was the best option for British taxpayers.
"We will, and always have, put the interests of taxpayers first," Brown said during his monthly news conference
Have you ever heard that the US taxpayers should be first in consideration of policy?
British Nationalize Mortgage
it seems like we're going to do the same thing with a number of mortgage lenders here in the United States. However, it does not appear that this is in the best interests of the American taxpayer. Rather it seems that the tax burden will be increased to line the pockets of the elite yet again.
Nationalization
That's not what the Paulson plan does at all, but it is what Sweden did and economists are saying it was the most effective way...but they stripped completely any money from executives and shareholders. They lost it all in the process. Paulson bails out the shareholders (he has a bunch of "options" at his discretion but this is what it looks like will happen).
Although that is what he did with the GSEs and in essence, AIG.