My Two Cents

Just Say No

Chris Farrell Sep 10, 2008

After announcing the largest loss in its 160 year history, no one will be suprised if Lehman Brothers turns to Treasury and the Fed for a bailout. The federal government should just say no.

By this time, everyone has known for a considerable period of time about Lehman’s problems. The financial exposure to Lehman has to have shrunk. The government needs to show that it isn’t in the business of bailing out every high-priced pinstripe suit on Wall Street. The taxpayer should only be on the hook to avert threats that might take down the economy and financial system. That’s not Lehman. Not now.

The U.S. Treasury and the Fed should politely tell Lehman to go away. It has to find its saviour in the private markets.

We’re here to help you navigate this changed world and economy.

Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.

In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.

Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.