While the stock market indices are floundering with multi-year lows, “nationalization” was the key word spooking investor sentiment during the past few days.

Also on the video front, “hot-under-the-collar” discussions, featuring James Galbraith, Sheila Bair, Marc Gaber, Nouriel Roubini, Nassim Taleb and Richard Bove, took place on whether or not to nationalize large US banks.

David Reilly (Bloomberg) added the following perspective: “The nationalization debate is a smoke screen. We’ve already nationalized the big banks. Let’s just accept it and move on”. From across the pond, David Fuller said: “Politically … this is a case of [even more] damned if you do [than] damned if you don’t.”

Charlie Rose: A conversation with Morgan Stanley’s John Mack


Source: Charlie Rose, February 23, 2009.

MarketWatch: James Galbraith – stimulus not enough
“Economist James Galbraith talks to MarketWatch’s Ruth Mantell about the future of the US banking system and what the Federal Reserve can, and can’t, do help shore up the economy.”


Source: MarketWatch, February 26, 2009.

CNBC: FDIC’s Bair on banking
“FDIC chairman Sheila Bair discusses bank nationalization, the creation of a so-called ‘bad bank’, home foreclosures and mark-to-market accounting with CNBC’s Albert Bozzo.”


Source: CNBC, February 25, 2009.

Bloomberg: Marc Faber on bank nationalization


Source: Bloomberg (via YouTube), February 23, 2009.

CNBC: Roubini – banks need temporary nationalization
“‘In the long run, we don’t want government ownership of the banking system. In the short run, temporary nationalization – cleaning up the banks and selling them back to the private sector – might be the right policy,’ Nouriel Roubini, chairman of RGE Monitor & NYU professor, said Tuesday.”


Source: CNBC, February 24, 2009.