The government (Treasury Dept.) has been given very broad authority to purchase distressed assets. Over on Slate.com, Chadwick Matlin observes that the language, "interpreted loosely . . . could mean tax dollars could be spent purchasing a depressed, yet invaluable, bank employee." Certainly the range of things the government *may* undertake is almost unlimited.
Undoubtedly, however, the government will begin by doing two things:
1) Buy individual mortgages, probably through Freddie and Fannie, with full information and all the usual bells and...
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