the economy stupid
we all know that george bush is an idiot and a liar. no surprise there. what does surprise me is the strides the man takes to live in total denial of the results of his administration's actions and how, even without the wisdom of karl rove, he is still engaging in his brilliant magic shows, where he says one thing and does another, without anybody ever calling him on it.
case in point. today, bear stearns almost collapsed. if it had, this country would be in a severe economic crisis. billions of dollars would have simply evaporated from the market. what kept this from happening? the intervention of the federal reserve. the fed pumped bear stearns up with money through it's proxy - jp morgan chase. jp morgan was only willing to lend the money to bear stearns after it had received a guarantee from the federal reserve that it would be reimbursed by the governmental entity.
also today, mr. bush addressed the economic club of new york, saying "i'm coming to you as an optimistic fellow," he told the elite crowd of investors, economists and corporate titans. "I've seen what happens when america deals with difficulty. I believe that we're a resilient economy. And i believe that the ingenuity and resolve of the american people is what helps us deal with these issues and it's going to happen again." this is denial. this denial is the same denial we've witnessed in the 7 years that he's been in office.
next, he applauded the "strong action" by the Fed and promised that the central bank and treasury department "will take the appropriate steps to promote stability in our markets." so he is basically admitting that the federal government is waiting in the wings to bail out it's ailing industries.
then we move on to the magic. it's good to see that he hasn't lost his touch. according to the washington post, he spent much of his speech talking about ideas he did not support, mainly democratic proposals to bail out homeowners, citing several congressional bills specifically. "The temptation in washington is to say that anything short of a massive government intervention in the housing market amounts to inaction," he said. "i strongly disagree with that sentiment." then he goes on to say "the market is in the process of correcting itself. markets must have time to correct themselves." so, on the one hand he applauds "massive government intervention" and on the other, he scorns it. then he states that the market is correcting itself, while manipulating it in plain sight by giving a dying financial institution billions of dollars.
wait he only gave me $600. no fair!
more economics goodies:
food and gas prices defy theory
food and gas prices defy economic theory.
» read | posted: 2008-04-30
money as weapon
there is a new world war brewing, one that will be fought with money.
» read | posted: 2007-12-01
subsidized confusion
a look into the hypocrisy of free-market capitalism and it's position on government intervention
» read | posted: 2007-08-24
no way, jose!
america's refusal to regulate it's marketplace and the consequences for the rest of the world
» read | posted: 2007-08-16
capitalism and friedman
milton friedman was one of the most influential folks of the 20th century. capitalism and freedom is the bible of capitalist liberation.
» read | posted: 2007-07-07
das kapitalism
think capitalism came out victorious when the soviet union dissolved? think again.
» read | posted: 2007-06-25
death in the southland
southern california is in for a big surprise when the water runs out.
» read | posted: 2007-06-20
subsidies vs. tax breaks
how the united states gets away with subsidizing companies and/or industries through generous tax breaks.
» read | posted: 2006-12-17
