Thursday, October 23, 2008

Headline gets it wrong

"Markets fall as fears of slump span world"
No, it's fears of Obamanomics--higher taxes, more trade restrictions, more powerful unions and more environmental regulations. If you are wealthy, better to sleep on your cash in the "mattress" and sit this one out until your well-paid accountantants and lawyers can find the loopholes. Investors and money managers aren't stupid. A president like FDR who took a struggling market in 1932 and artificially inflated it with more government programs but no real job growth, extending the Depression another decade, is not building confidence. Even if Obama and the American voter haven't read history, chances are there are some out there in Japan and Germany who have.

Ode to a very bad plan
by Norma Bruce

Capitalists and Socialists alike
around the world
invested in our bad mortgages
bundled by our biggest banks
backed by our GSEs
promoted by our Congresses
protected by our Democrats
on the banking and finance committees
handing out with a wink big grants
to community organizers threatening
the writers of the mortgages
to fund the dream that
every Joe the Plumber
and each Maria the Barista
should have a PMI
they couldn't possibly afford
when the bubble burst
as all bubbles do.

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