If you have felt like going postal as you learn more and listen to the President regarding this financial crisis; who could blame you. Here is a situation that quite frankly your part in creating was small, yet you are now according to the President one of the major problems behind the situation. Adding to that since it was you who were the driving force behind the insanity that created the problem in the first place, what good American would not want to come out and help. They use to say our great grand children would be paying off our deficit; chances are this debt will never be paid off!
Contrary to popular belief by many that this bailout is just a Bush Administration end run to bankrupt the government so that there is no money for any of those social programs, i.e. social security, education, welfare etc. This bailout has all the earmarks and I use that word on purpose of giving the banks and investors the handouts they haven’t been getting and good lord who can deny the richest an extra slice of that great American Pie! By the way the absence of many of this so called investors and super rich in the halls of Congress this week should not give you pause. You can certainly bet their lobbyists are there in full force.
In what appears as a ponzi scheme of the most gigantic proportion our economy to hear the Treasury Secretary and Ben Bernake talk has been based on quicksand? Investors, the government, brokerage houses, mutual funds and even the cleaning lady have all been borrowing against assets that were over valued to the point of ridiculousness. Thank god we have all those fanatical networks to point out the problem? Yeah right, not a one of them predicted this. Out whole world appears to have been built on building as if there was no tomorrow, new houses that were bigger and better than ones anyone with a real income could afford. How many stories have we all seen about McManisons being built in neighborhoods and wondered how are they paying for such houses? Plenty, I would say.
If you add to all of this our manufactured need for credit you get a real mess. That steady diet of what is in your wallet? Refinance and reap the rewards? The guy with the squeaky voice who could re-finance you at 3.2% if you act now, or the mortgage company that used the thirty five mile an hour drive by as a basis for you appraisal! Yes we all have a stake in what has gone down being it the size of a toothpick or Sequoia!
But is it up to the American people to bail out the greediest of the lot? Given the fact that the financial grid is as tied together closer than the electrical grid, we are going to be left with little choice not to.
The good news is John McCain has curtailed his campaign to go back to Washington to help get a settlement signed. Just as he called for the Republican Convention to be postponed while he went to New Orleans to make sure everything went right with the Hurricane recovery he has since forgotten about. As John Madden would say, “now here’s a guy who wants to be President!” Imagine with less than fifty days left until the election, your biggest crisis of confidence may be just around the corner!!