Rescue The Fdic Then Tackle Bank Reform

With problems, it's always good to take the long view. But there's the danger that while your gaze is fixed on the horizon, you won't see the pit right at your toenails. With its Feb. 5 blueprint for overhauling U. S. banking, the Treasury Dept. seems headed for just such a fall. Its 649-page tome is filled with detailed proposals to revolutionize the banks of 2000, but it has little to say about the problems of 1991--the credit crunch afflicting the economy and the urgent need to pump funds into the Federal Deposit Insurance Corp.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.