Jon Taplin is always thoughtful. And he's an excellent curator; his front page photo here can't be beat. I have to say the ideas he proposes here make good sense to me:
- Fannie and Freddie should aggressively go into the market buying mortgages, TODAY.
- The FDIC should raise the guarantee on bank deposits to $250,000 per account, TODAY.
- The Fed should suspend for six months the mark to market accounting rule on mortgage securities or create some other rule that would allow banks to keep frozen mortgage paper segregated on their balance sheets.
- FDIC should force every bank to deliver an audited statement of all of their holdings including Credit Default Swaps withing 30 days. Transparency is the soul of confidence.