Arianna Huffington: Why is Obama Reluctant to Kill the Zombie Banks Threatening Our Economy?

Arianna Huffington: Why is Obama Reluctant to Kill the Zombie Banks Threatening Our Economy?:

"The big problem is Geithner is acting as if the crisis we are facing is a crisis of liquidity when, in fact, it's a crisis of insolvency. As Ann Pettifor puts it on HuffPost: 'Much of Wall Street is effectively insolvent. It's not that these banks lack cash or capital -- it's just that they're never going to meet all their financial liabilities -- i.e. repay their debts. Ever.'

Trying to prop these zombies up, as Geithner seems intent on doing, will lead to what Roubini calls 'a royal rip-off of the taxpayer' and the risk of 'turning a U-shaped recession into an L-shaped near-depression.'"