This column highlights the top economic stories of the week. Last weekend, the biggest players in the health care industry announced that they would put together a cost-cutting plan to present to the Obama Administration. The expectation is that the measures will save a family of four $500 a year in the first year, and …
[youtube=http://www.youtube.com/v/qHc5NaaZvrc&hl=en&fs=1] Economist, James Galbraith, on bank stress tests The results of bank stress tests released this week, do not bear good news. The bottom line is that at total of $75 billion needs to be raised from 10 major banks to prop them up for losses that could come from a deepening recession. Here is …
Tests Are Over But American Banks Are Still Stressed Read More »
As ‘nationalization’ appears to be the U.S. government’s answer to saving the banking industry, the banks themselves are doing all that they can to boost shareholder confidence.
The latest news from Citibank is that they have approached the US government to agree on a new capital injection that would increase their stake in the troubled bank to about 40 per cent but prevent an outright nationalization.