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The solution is a painful but necessary and healthy (and, it is to be hoped, brief) liquidation of excessive capital projects.
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Timothy F. Geithner, the president of the New York Federal Reserve, called a 6 p.m. meeting so that bank officials could review their financial exposures to Lehman Brothers and work out contingency plans over the possibility that the government would need to orchestrate an orderly liquidation of the firm on Monday, according to people briefed on the meeting.
But we are somewhat skeptical about the claim in Chrysler's brief to the Treasury that allowing it to go into bankruptcy could risk its liquidation, at the cost of hundreds of thousands and perhaps millions of jobs at Chrysler, its dealers and suppliers.
People briefed on the negotiations said that while it seemed certain Chrysler would survive and avoid liquidation, it was not yet clear whether it would have to be placed into bankruptcy to sort through any unresolved issues with creditors.
That could mean a liquidation, something the Obama administration's task force is preparing for, according to a person briefed on the negotiations.
Liquidation etiquette.
"Fire-sale liquidation".
Bankruptcy meant liquidation.
LIQUIDATION, by Imre Kertesz.
"We did a liquidation analysis.
(Pets.com is in liquidation).
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