Conservatives want to create private insurance companies which will buy up the distressed instruments. It's called "insurance" because the wealthy folks who owned the securities are insured against loss.

These private insurance companies will be funded by further tax cuts on the wealthy. It is a no-risk affair for the insurance company owners and for the distressed security owners.

What happens, then, is that Uncle Sugar, instead of buying the securities, cuts taxes on the wealthy. Using this money the wealthy sets up the funds. The securities are owned by private enterprises, no investment necessary. And if there is a return, it goes to the private companies. It's a total loss for the country.

My guess is Halliburton is busy setting up a number of these now.

Arf