Transcripts of the monetary policymaking body of the Federal Reserve from 2002–2008.

I agree with that, but at the same time, I see the similarity. When you don’t go in and try to drive it back quickly, you get the Japanese outcome of prolonging it. I don’t know where the banks are yet, but I know that things are getting worse and that the intermediation process is broken. So just maybe there is something in-between—something that can be done that forces outcomes for some of these banks. Even though they are not insolvent as such, we have poured a ton of equity into those institutions, and I am not sure if we shouldn’t have added some other elements to that that might have helped on the other side. That’s my point.

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