John Berlau has more on the Mark-to-Markets rule here. His conclusion:

Paulson, although frequently described as a “pragamatist,” isn’t being rational on this, despite condemnations of mark-to-market from officials of the Bank of England and academics from Yale and Wharton. Instead, he offered a staunch defense of mark-to-market rules in a July speech at the New York Public Library, saying, “I think it’s hard to run a financial institution if you don’t have the discipline which requires you to mark securities to market.” Makes one wonder if Paulson really wants to save the economy or just build a Big Government that serves Wall Street.

Good sources, alongside Openmarket and this very spot, for free-market commentary on this whole issue are Cafe Hayek and Greg Mankiw’s blog.