Pat Buchanan’s take on the current financial crisis. See Day of Reckoning.
Rotten Paper, Toxic Paper
One response to “Rotten Paper, Toxic Paper”
Ludwig von Mises wrote, “there is no way to avoid the collapse of a boom
brought on by credit expansion. The alternative is only whether the crisis
should come sooner as a result of a voluntary abandonment of further credit
expansion, or later as a total catastrophe of the currency involved.”
Seems clear enough to me that the guvmint is opting for “later”. They are trying to kick he problem a little further down the road with this bailout that Pat says “… must be done, and done now”.
The risks in attempting the bailout lie in prolonging the problem as in the Great Depression and in the potential hyperinflation of the currency. I expect Helicopter Ben and Comrade Paulson will attempt to inject multiple trillion dollars of fiat currency over the coming year(s) and that 700B is the tip of the iceberg.