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Rambling thoughts on who knows what... Because not everything is as the conventional wisdom would have it... BLOGS I SORT OF LIKE... Volokh Conspiracy ProfessorBainbridge MarginalRevolution Patterico Powerline Ace Wizbang JustOneMinute XRLQ Betsy's Page HE WHO USED TO LINK ME EVERY NOW AND THEN InstaPundit Email Steve
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Friday, February 06, 2009
No one should be surprised that the government overpaid for their 'investments' in financial firms. By definition, the fact that banks were willing to enter into such deals with the government meant that they felt those deals were better than the terms they could get on the open market. If a bank needed (picking a number) $10 billion and their choice was between selling 20% of their equity to a private buyer or 15% of their equity to the government, isn't it somewhat obvious that they'd prefer the latter?
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