I forcefully reject the thesis that “unrestrained capitalism” caused this fiasco. It has been unrestrained government meddling which laid the foundations for the meltdown. The extremely loose monetary policy established under Greenspan’s Federal Reserve left banks feeling giddy with liquidity. Bush cheerleading riskier mortgages and loan terms certainly exacerbated the problem.  So then how is it due exclusively to the “eeeeeeeevils of capitalism?” Intelligent, cautious investors like Buffett and Soros wouldn’t have touched the SIVs, CDSs, and other sundry repackaged garbage with a ten-foot pole. Are they not also representatives of the capitalist system? Bank of America is another example of a corporation that has largely stayed out of trouble. It recently purchased Merrill Lynch for a song and is now the largest bank and brokerage in the world.

This article in MoneyWeek, from two years ago, points out that all of this was not inevitable. Unfortunately, living beyond our means has become the norm in the US. The article states that if the US had the savings rate of most European countries, it would be in a depression. Just because the government makes available the rope to strangle ourselves doesn’t mean we have to avail ourselves of it. The most damning statement of the Fed: “…the Fed kept the banking system liquid enough to continue an aggressive credit expansion.” Stated another way, the Fed enables the rich to get richer on the backs of the poor. Frankly.

Lew Rockwell says it much better than I can: “[I]nterventionism doesn’t accomplish its stated ends. Instead it distorts the market. That distortion cries out for a fix. The fix can consist in pulling back and freeing the market or taking further steps toward intervention. The State nearly always chooses the latter course, unless forced to do otherwise. The result is more distortion, leading eventually, by small steps, toward ever more nationalization and its attendant stagnation and bankruptcy.

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Don’t people know that Saudi Arabia only supplies the US with about 15% of its overall consumption?  Maybe, instead of “jawboning” them, we should give up this stupid notion that cheap gas is our national birthright, and start living some economic reality.

http://news.yahoo.com/s/ap/20080516/ap_on_go_pr_wh/bush_mideast

Trevor Lyman

22 December 2007

The man behind the massive online fundraising effort.

http://www.latimes.com/news/politics/la-na-moneyman16dec16,0,6282421.story?coll=la-home-center

Money man

Faith in America

6 December 2007

Mitt Romney gave a great speech today. I wonder if he’ll get a bounce in the polls.

* He has never voted to raise taxes.
* He has never voted for an unbalanced budget.
* He has never voted for a federal restriction on gun ownership.
* He has never voted to raise congressional pay.
* He has never taken a government-paid junket.
* He has never voted to increase the power of the executive branch.
* He voted against the Patriot Act.
* He voted against regulating the Internet.
* He voted against the Iraq war.

* He does not participate in the lucrative congressional pension program.

* He returns a portion of his annual congressional office budget to the U.S. treasury every year.

Congressman Paul introduces numerous pieces of substantive legislation each year, probably more than any single member of Congress.

 That’s right folks, he voted against THE PATRIOT ACT! This man is my new hero.

A video a day

4 December 2007

This video is very powerful, and explains in clear terms the “inflation tax” that will eventually destroy the US economy if we don’t stop reckless spending and money creation by the Federal Reserve Bank.

Vote Ron Paul in 2008, and restore the Republic.

Smells like hypocrisy

3 September 2007

The Dems can’t say they wouldn’t do the same thing if the shoe were on the other foot…

 http://www.adelphia.net/news/read.php?ps=1017&id=13970229&_LT=HOME_LARSDCCL3_UNEWS

Few and far between

31 August 2007

I found a great post about supporting Ron Paul for pres; not very many people in Maryland are doing that.

http://www.ronpaulpresshub.com/?p=148

 Funny excerpt: Just as an aside, I was walking past the Jews for Jesus booth a couple of booths down from GOP booth. One of the Jews for Jesus calls out to me, “Oh, Ron Paul, give me 5 good reasons”, which I promptly rattled off. He agreed with me, surprisingly, but unsurprisingly opined that we didn’t have a chance. I said, well, you don’t know unless you try, and anyhow, we are on an unsustainable path as a nation, so change is either going to come from ourselves or from external agency. He agreed, but asked if it were possible to make the RP changes without marching on DC in an armed revolt. I said, don’t know until you try, and we can’t just stand by and do nothing. A nice exchange, but left me shaking my head at the irony of a Jew for Jesus admonishing me about long-shot campaigns.

Slate: we report, you decide. 🙂

http://link.brightcove.com/services/link/bcpid988092926/bctid1151560134

Ron can

30 August 2007

Well, it would be nice. Ron Paul in 2008?