paul keating joins 7.30 report, page-4

I was surprised to hear Keating say that the US should let the bankrupt banks go and nationalise the good ones and force them to loan and then the other banks will have to to remain competitive. I think he is looking it as a counter to the deregulation and privatisation of the 80s and 90s, but it doesnt make sense if all the good banks are nationalised, the govt can do w/ever they want with the banks then and make them all loan. Better to let the bankrupt ones go and let the remaining good ones t/over the good bits and increase competition that way. I think there should be new regs but not necessarily banks controlled by the govt.