Bank Nationalization: What Is It? Should We Do It?

Given the continuing pressure and need to inject public funds into the stressed banks I am convinced that the time has come for the implementation of a 21st Century: hybrid form of Nationalization. As Douglas J. Elliott argue:

Although nationalization is a serious and extreme step with high social and financial costs...full nationalization may be needed only as a last resort for one or two of the nation’s larger banks, with more widespread nationalization unlikely...it may make sense for the government to partially nationalize additional large banks now, in an effort to bring some certainty to the markets...

Lets call it Finationalizaion !