Treasury Chief Says Banks Must Deploy New Capital
Speaking shortly after President Bush used similar terms to describe the proposal, Mr. Paulson said the Treasury would make $250 billion available to banks to help recapitalize those banks and to get them lending again, among themselves and to businesses and consumers.
. . . “The needs of our economy require that our financial institutions not take this new capital to hoard it, but to deploy it,”
How quickly has restore confidence and avoid a collapse of the financial system become a cliche? A week? A month? One loses track.
Frightened as they remain, recipient banks will (of course) hoard it.