Thisfeaturewould makethispolicyradicallydifferent from the initial TARPproposaland from the treasuries' piecemeal interventions in bailing out institutionssuch asAIGandCitigroup.
In China, Mr Caballero argues, this is done indirectly through the state, which buys foreign securities, suchasTreasuries, then issues bonds of its own, which are held by Chinese banks, companies and households.