Luigi Zingales Offers His Advice to Treasury Secretary Geithner

My colleague Luigi Zingales has some words of wisdom for the incoming Treasury secretary.

Rauh and Zingales on G.M.’s Best Hope

Mercedes-Benz plant in Tuscaloosa, Ala. (Photo: Gary Tramontina/The New York Times) My University of Chicago colleagues Josh Rauh and Luigi Zingales have written an insightful essay on G.M.’s plight and what the government should do about it. They, like virtually all economists, think the auto industry bailout under consideration is not the right solution. They […]

Recourse, Of Course

Martin Feldstein has written another Wall Street Journal op-ed (here’s an NBER version) extending his idea for stabilizing home prices. Steven Levitt has written about Feldstein’s basic idea before. The basic idea is for the government to provide low-interest loans to mortgage holders in return for mortgage debt: The federal government would offer any homeowner […]

Economist Andrew Caplin on the Subprime Mess

Here is a link to Andrew Caplin‘s web page, which has good explanations of many issues related to the subprime mortgage crisis. It includes an early call for a program that has some of the same features as Luigi Zingales‘s Plan B.

Zingales: Time for “Plan B” to Fight the Financial Crisis

More excellent ideas from University of Chicago economist Luigi Zingales on solutions to the current financial crisis; what he calls “Plan B.”