By Simon Johnson
When a company wants to fend off a hostile takeover, its board may seek to put in place so-called “poison pill” defenses – i.e., measures that will make the firm less desirable if purchased, but which ideally will not encumber its operations if it stays independent.
The Chicago Tribune reports Fed's Fisher: Reorganize banks that are "too big to fail"
U.S. authorities should reorganize the country's largest banks to protect against the risk of institutions that are "too big to fail" and that would saddle ordinary Americans with the cost of a bailout the next time they get in trouble, a senior Federal Reserve official said on Wednesday.
Or what happens when Wall Street Muppet A is vewy, vewy angwy with Wall Street Muppet B and needs a Nielsen ratings boost. * * * Straight from the best Senate Wall Street taxpayer bailout money and Fed excess reserves (by way of deficit monetization) can buy:
Scott Sumner submits: I seem to be the only blogger talking about this, which makes me think either I am ahead of the curve, or more likely making a bonehead error. But as of yet no commenter has yet found the bonehead error I am making.
The economy is going to tank in Cyprus no matter what
BRUSSELS — Eurozone finance officials acknowledged being “in a mess” over Cyprus during a conference call on Wednesday and discussed imposing capital controls to insulate the region from a possible collapse of the Cypriot economy.
In detailed notes of the call seen by Reuters, one official described emotions as running “very high”, making it difficult to come up with rational solutions, and referred to “open talk in regards of (Cyprus) leaving the eurozone”.