Monthly Archives: September 2008

Victory!

In a vote that shook the government, Wall Street and markets around the world, the House on Monday defeated a $700 billion emergency rescue for the nation’s financial system, leaving both parties and the Bush administration struggling to pick up the pieces. The Dow Jones industrials plunged nearly 800 points, the most ever for a single day.

I second Matt…

It’s not the government’s responsibility to bail out businesses that have horrible investing practices.

There is no excuse for the government to seize control of the economy.  And there is further no excuse for the government to bailout people WHO KNEW BETTER THAN TO GIVE MONEY TO PEOPLE THAT THEY KNEW COULD NOT PAY IT BACK.

The Scariest Words…

Ronald Reagan once said, “The scariest words in the English language are, ‘I’m from the government, and I’m here to help'”.

Reagan was right.

The prospect of the government assuming total power over a considerable segment of the US economy is frightening to say the least.  It cannot be emphasized enough – the Free Market did not create the current financial chaos.  It was government meddling in the market that did so.

This seems to me to be a pretty straightforward example of how government meddling – meddling that was meant for good – always backfires.

Not only should Wall Street not get bailed out, but Fannie Mae and Freddie Mac should be systematically dismembered and thus end this abhorrent experiment in government manipulation of the market.

It is a very sad truth that the American Taxpayer simply cannot afford to bail out these guys.  Nevermind the huge question of whether or not the average American has any responsibility to bail out a bunch of millionaires who should have known better in the first place. They tried to game the system figuring that the government would bail them out when it all came crashing down.  I say, don’t do it.

The ultimate responsibility of the government in this situation is the organized and fair liquidation of the assets of these bankrupt companies to their creditors.  Period.

If there’s anything that we should have learned from the Soviet Union, it’s that you can’t game the market forever.  And the longer you game it, the bigger the collapse in the end.  The Fed has been playing games with the money supply since the Clinton administration.  Fannie Mae and Freddie Mac were unleashed with no oversight in that same time.  This is a bipartisan mess, though.  The Republicans had 6 years where they controlled both houses of congress and the executive branch that they could have stopped this.  Instead, they continued gaming the money supply to enable their disgusting deficit spending on bridges to nowhere.

It’s time to enforce the 9th and 10th amendments to the Constitution and shrink the government back down to a manageable size.

Thinking…

Over the past few days, I have been thinking.  I really like Sarah Palin.  She seems to be a real conservative.  On the other hand, John McCain did a very effective job of pointing out that he’s still the same John McCain that I didn’t want to put in the White House before he picked Sarah Palin for the VP slot.  And when you get down to it, the Vice President doesn’t make policy decisions, the VP doesn’t make appointements, and really, only has the power to settle tie votes in the Senate.

I’m really not seeing my incentive to vote for John McCain. I have a moral dilemma about voting for somebody with the expectation that he’s either going to die or be assassinated.

On the other hand, we have Barack Obama, who as near as I can tell, would be the worst President since Jimmy Carter.