if the government had not stepped in, both boa and merrill would be out of business by now, so they and their executives have nothing to complain about. if their bondholders lost some money, or their executives don't like their pay packages, that's too bad, because in a free market environment they would already have lost everything. healthy companies that can stand on their own are not subject to government control.

I think you've just answered the question, haven't you? If the US is no longer a free market, then why should I trust that my money is safe? There's clearly no guarantee at the regulatory level, and now we have all manner of govt. intervention overiding the markets, so where is safe?

i am more concerned about the reverse, i.e. control of government by the corporations. when goldman sachs is given nearly $13 billion (funnelled through aig) and then reports strong earnings, there is a real problem with the appearance of the government deciding who wins and who loses.

Exactly my point, although I regard it as more of a merger than an actual takeover. Each serves the interests of the other, so to speak, with us little folk left to fend for ourselves.

ebear