February 23rd, 2009
11:04 AM ET

Send us your questions on the economy!

Program Note: Make sure to tune in tonight to hear Ali Velshi and other economic experts answer your questions on AC360° at 10 p.m. ET.

[cnn-photo-caption image=http://i2.cdn.turner.com/cnn/2009/images/02/23/t1.multiple_signs.jpg]

Ali Velshi
CNN Chief Business Correspondent

What is all of this talk about bank nationalization? Let's just change the word. It conjures up images of Castro forcefully seizing private businesses. That's not what this is.

Markets tanked on Friday because investors negatively interpreted the government's "nationalization" the banks.

But there's a big difference between the US government taking controlling stakes in US banks to recapitalize them, because no one else has the money or will to do so, and Hugo Chavez expropriating refineries owned by Exxon-Mobil to exclude private investors from profitability and to control a resource.

Free-marketers are spinning this quite unnecessarily and causing panic among investors. The government is able to access money more inexpensively than anyone else right now.

I don't think the government, or we, have any long term interest in owning banks. This is a short-term solution to inject money into banks so that they continue to be able to extend credit and keep the wheels of commerce in motion.

I'm not arguing in favor of or against it. It might just be easier if they call it something else.

What do you think?

And what other questions do you have on the economy? Send them to us and Ali Velshi and our other economic experts will give you answers tonight on AC360° at 10 p.m. ET.

Filed under: Ali Velshi • Economy • Finance • T1
soundoff (107 Responses)
  1. Eric

    Comment about all the above postings
    What I see above. Greed, selfishness, racism, revenge, despair, blame, fear, hostility, anger and ignorance. The sprite of what was once a great nation has been destroyed. May she rest in peace!

    February 24, 2009 at 6:04 am |
  2. Jason Dean

    I have a couple of questions I would realy like answered. First where did all of the money go. Not the billions that have been handed to the banks but all of the money that was contibuting to the dow being over 14000 just a year ago. And second with all of the trillions of dollars that has been adding up for these stimulous packages over the last year why didnt the money just go to the tax payers to pour back into the economy. I bet more money has been given to wall street and the banks than there are home loans. Can you imagine millions of americans working with little to no mortgage payments, 401k's or retirement investments would go up, people would be spending money on cars, clothes, etc. What I take from this is that the elected men and woman who are suppose to be looking out for us dont care or trust us. If they did someone would of at least thought about putting this money in the hands of the american tax payer.

    February 24, 2009 at 4:12 am |
  3. Lukas M

    There's no need in getting in the way of those trying to revitalized our failing economy when " in the first place you've failed " Republican have chosen to pay more for those 'CEO's So; Let them (D)try to get us out of this mess they've (R)created among us.

    February 24, 2009 at 3:39 am |
  4. Ralph Patterson

    Is anyone paying attention? Why not raise minimum wage to $20 a hr? Cap the working hrs to 40 hrs a week per tax payer – cutting over-time – allowing more positions for individuals to obtain a job. This would allow more spending for the economy – the more people make, the more people spend. This means more jobs and more money STIMULATING the economy.

    February 24, 2009 at 2:38 am |
  5. SS

    I don't see the big problem with a temporary nationalization process...it's not going to hurt anybody's prospects, not the banks, not consumers, not new companies looking for funds to set up their businesses...least of all, Wall Street...I think they will lap it up as a positive indication...Obama should be moving towards that goal...plus, BoA and Citi need a major revamp...you can't suddenly make things right with the same staff, same bad loans...major management changes are required. There is no need to conjure up images of Castro. Nationalization within limits is the key to giving out fresh loans to companies, which is what will kickstart the growth process all over again. Every crisis presents itself with an opportunity...it would be very stupid for us to not sense these opportunities.

    February 24, 2009 at 2:35 am |
  6. tony

    ali vleshi you were wrong tonight on ac360 when you said "i don't think anyone is against extending unemployment benefits"...

    you're a smart guy, but c'mon. where have you been? sanford and jindal were on the sunday shows this week, BOTH saying they were against the UNEMPLOYEMENT parts of the stim. they don't want to extend benefits beyond the stim money. obama was addressing that specifically, and that's news. anderson should have caught that too.

    but you specifically said no one was against unemployment benefits.
    that's not right babe.


    February 24, 2009 at 2:33 am |
  7. Retiree in Dallas

    What happened to the Obama campaign promise to eliminate the 10% penalty on early IRA withdrawals for retirees under age 59-1/2 in 2008 and 2009? It appears to be almost too late to implement this promise for 2008, and there is no time like the present to eliminate the 10% penalty for 2009. Like many who were forced into retirement several years ago, I have had to withdraw $20,000 early in 2008 and feel forced to withdraw $20,000 in 2009 pay off my remaining credit card debt. When will retirees see some relief in this area?

    February 24, 2009 at 2:19 am |
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