Dear friends,
It seems to me that now that we have had a few days for the “bailout‘s” effect to sink into the markets the markets have reacted with a deafening stampede for the door. The “bailout” that we were told by the talking heads was essential appears to have been a waste of money. An 850 Billion dollar waste of money.
Now the governments of almost every country have tried to “Bailout” their markets. With the same success rate as the US government. Iceland is teetering on the verge of bankruptcy. Europe is nationalizing banks as fast as they can. England’s government has just spent almost a third of it’s annual GDP nationalizing banks today alone. Yet we keep hearing that the economy just needs a jump start.
If I have killed the battery trying to start a car. Then burned up a set of jumper cables. At some point I try something different. Maybe seeing if there is gas in the tank. Or checking the plugs. I don’t keep putting the juice to it. Especially before I have checked the oil. Maybe by putting more and more juice to the engine the government has damaged the engine. Every time I hit myself in the head it hurts? Maybe if I do it enough…
That is exactly what I worried would happen with this “bailout.” The government keeps proving to the jittery markets that there is more of a problem than there was. Now however the problem has worsened because of the intercession of the government.
The only thing government needed to do was to buy new loans, keeping money flowing into the economy. By buying bad debts that some corrupt rich bankers screwed up has only helped the corrupt rich bankers. At the expense of everyone else. That is the definition of bad government. Government that works for one faction of society instead of society as a whole.
By helping the corrupt rich bankers protect their portfolio’s the government has done the rest of us a great disservice. The wealthy investment bankers are not loaning money as the government had ‘hoped‘. Hoping that people will be virtuous who have never demonstrated virtue is plain old stupid… stupid as a box of rocks, or maybe just corrupt legislators bailing out corrupt investment bankers.
But what can we expect from the corrupt politicians that we continue to elect. Then hold to absolutely no standard what so ever. The corruption is on display for all to see if only we open our eyes. The corrupt legislative branch of the US government is holding hearings on the failure of Lehman Brothers. The only investment bank that the government didn’t bail out. What the hell??? Wouldn’t it be reasonable to hold hearings on the other investment banks that the government did “bailout”? The ones that cost us money? Like Fannie Mae, Freddy Mac, or Bear Sterns… oh, that’s right, they were playing ball with the corrupt politicians. They have nothing to fear, the corrupt politicians will protect them. Else the corruption will have the light of day shone on it. That is completely unacceptable… to the corrupt politicians!
I think it’s time to have a “special prosecutor” look into the Legislative branch of government’s role in this fiasco. What did the legislators know and when did they know it? Especially the members of the Banking subcommittees. How did their acts effect this problem. Have a good unbiased investigation into the whole affair. Let the Congress and Senate twist in the wind. They like to put others in the hot seat. Its time they were subjected to the same investigative powers they have subjected the executive to.
Like that will ever happen…
