Liquidity Fund

Started by PG, October 17, 2008, 10:24:25 am

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Sign here -> Liquidity Fund Petition
I applied for this petition ages ago and it only got accepted 10 minutes ago so here it is. The petition itself has the info on the liquidity fund and how it should work but I'll quickly go through it now.
Basically it's a pool of treasury backed money that is used as a guarantee of the liquidity that the governments around the world have already pumped into the system. Trouble is, that money isn't going anywhere, so this fund would be given under the condition that banks start lending to each other. If they fall into trouble then they have this fund that they can dip into to reclaim what they've lost, within reason.
Why I say within reason is because the banks would have to repay that money bank into the liquidity fund after a certain time with interest according to the rates at the time. So it gets the economy flowing again. Banks don't have to be so afraid to lend, the housing market gets back up and running and the taxpayers don't lose the $2 trillion they've already been forced to bailout the banks with. What d'ya think? If you like it then just jot you name into the petition.
Figured out how to do clicky signatures