Genetic Interpretation of American Financial Bailout: Gene Recombination Model and its Application

This author proposes a Gene Recombination Model, encompassing the six sub-models, homologous recombination, site-specific recombination, double strand break recombination, chromosome rearrangement, template-selective recombination and transposition recombination. His model application has noticed that, the American financial innovation changed the fundamental structure of the original American financial system. The entire financial genome structure mutated, causing the American financial crisis. The "traditional" financial system has a strong existing capability and a reasonable gene structure, and these are the product of a natural and history-long choice. Financial bailout is an artificial financial gene recombination operation, and it should restructure an ailing financial system back to a "traditional" gene structure. The fact that the American banking business has already run out of the crisis shadow indicates that, returning to the "traditional" structure is a right choice.