A bad-asset bailout that only private equity could love.
By Mark Gimein of The Big Money
One of the oddest quotes coming from a government official in the lead-up to today’s new toxic-asset plan was this one from White House economist Cristina Romer: “What we’re talking about now are private firms that are kind of doing us a favor, coming into this market to help us buy these toxic assets off banks’ balance sheets.” The italics are mine, but, even without them, the idea that private-equity managers will do the government a favor jumps out at you as clearly as if it were outlined in bright lights.
