Post-Game On Geithner's Plan

Wall Street didn't buy Geithner's plan either. Dow's down nearly 300 points because the Bad Bank plan didn't really have a bad bank plan in it...convincing private investors to buy crap assets they know are worthless? Who is Geithner kidding?

Also, I saw no mention in the plan of the suspension of mark-to-market accounting. That's what the banks really wanted, the chance to continue lying about how much their toxic assets are worth. Instead, the plan appears to involve some middling "tougher standards" that involve actually asking banks how insolvent they actually are to see how much money they'll need.

The answers to those questions are something neither the banks nor Geithner want to contemplate.

[UPDATE] Oh, and this didn't help either.

Administration officials were greeted with sarcasm and laughter Monday night when they briefed lawmakers and congressional staff on Treasury Secretary Tim Geithner's new financial-sector bailout project, according to people who were in the room.

The laughter was at its height when Obama officials explained that the White House planned to guarantee a wide swath of toxic assets -- which they referred to as "legacy assets" -- but wouldn't be asking Congress for money. Rep. Brad Sherman (D-CA), a bailout opponent in the fall, asked the officials to give Congress the total dollar figure for which they were on the hook. The officials said that they couldn't provide a number, a response met by chuckling that was bipartisan, but tilted toward the GOP side. By guaranteeing the assets, Geithner hopes he can persuade the private sector to purchase a portion of them.

If nobody's taking him seriously, then Geithner needs to resign and be replaced by somebody who is.