|
To me the "bail out" is Washington at its worst. First everyone is against it, but felt they had to vote for it (sounds like the Iraq war vote and the Patriot act vote) People had been talking seriously about Fannie and Freddie since as early as 2003, there was absolutely no need to rush legislation.
Second, consider the source of the bail out plan. He is an investment banker from Goldman Sachs. Is it a surprise that his solution involves bailing out bad decisions made by investment bankers? Is it a surprise that Congress thinks the solution has to come from government? What would be wrong with letting institutions that made bad decision fail? Nothing. there are some institution who did not make bad decisions (like Wells Fargo, Bank of America, Berkshire Hathaway) or companies who recognized the problem early and took steps to mitigate the damage (Citi Bank) these companies are in a position to take advantage of the failings of the others and end up stronger.
Third, they could not even pass the legislation in a pure form, they needed to load it with "pork".
__________________
"Democracy is two wolves and a sheep voting on lunch."
"It is useless for the sheep to pass resolutions on vegetarianism while the wolf is of a different opinion."
"If you live among wolves you have to act like one."
"A lady screams at the mouse but smiles at the wolf. A gentleman is a wolf who sends flowers."
|