Coalition Of The Ailing Has A Plan To Save The World

Everyone expected a big announcement out of today’s G-7 meeting. Now it seems that the Coalition of the Ailing has come up with something vague, which is probably better than nothing.

From the Wall Street Journal:

The U.S. and its closest allies agreed on common guidelines to address the world financial crisis, a move that opens the way for a series of government actions, but falls short of the joint plan that many investors had sought.

Treasury Secretary Henry Paulson also provided more details about the Bush administration’s plan to take equity stakes in banks, saying the administration is developing a “standardized program” that would allow the U.S. government to purchase equity in “a broad array of financial institutions.”

Mr. Paulson said such a program would be designed to encourage investors to put private capital into financial institutions. The government would be a passive investor in any firm, he said.

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