--On Monday, September 29, 2008 5:12 PM -0700 Jones Beene <[EMAIL PROTECTED]>
wrote:
Ron Wormus wrote:
I tend to agree with Paul Krugmen on this one--he hates Bush, doesn't like
Wall Street,
but thinks the bailout's necessary. analysis:
<http://krugman.blogs.nytimes.com/>
Yes but maybe he is only half right. Of course it is necessary -- and it will
pass towards the
end of the week when the Stockholders of the big investment houses are finally
treated (i.e.
mistreated) in the exact same manner in which the the Stockholders of
Washington Mutual, the
nations largest lender were treated.
IOW they will get a few cents on the dollar of equity instead of the VERY
generous plan which was
rightfully defeated. Why favor Wall Street over Main Street?
Thankfully, there was some remnant of sanity in DC -- and that brain-dead and
elitist Bush plan
was defeated. Hallelujah for that.
BTW the more tangible reason- aside from basic fairness, or lack thereof - in
the original bill,
is that Politicians up for tough re-election races went with the populist
sentiment. They always
do in times of crisis.
Congressional Quarterly notes that of the races deemed "competitive," 85% of
the incumbents
voted against the bill.
Thank goodness for that.
Thank goodness that the populist sentiment in general this year - as it does
not favor McSame
either - and if the incumbents are reading the cards correctly - which they
often are of they
would NOT be incumbents - then this back to basics populist factor with the
electorate may be
enough to overcome closet racism and the Gidget and the Geezer, DOM effect. We
do not need 4 more
years of Bush.
Jones
Jones,
All true enough but big companies run on credit, and if they don't have it, it's going to cause big
problems in relatively short order. The Depression, Japan's "lost decade," the Russian currency
crisis--all the biggest drops in GDP were finance related. When the real economy tanks, it's the
business cycle, growth slows a bit and eventually picks back up. When the shit hits the fan in the
financial industry, we get massive economic disruption.
Ron
