The WSJ on Sheila Bair

The Wall Street Journal gives the chairman of the FDIC, a big vote of confidence in its editorial today on financial "reform.": "it gives the FDIC the discretion to discriminate among creditors as it judges who gets paid what as part of a resolution. Current FDIC Chairman Sheila Bair wouldn't abuse this power, but her successors might." Looks like the Journal editorial writers hadn't invested in Washington Mutual; if they had, they might be a little less confident in Ms. Bair's discretion.