Sunday, September 21, 2008

Best of the Net - Weekend Edition September 19-21

Well, three weekends in September - three enormous bailouts. The most recent is unknown in size because it essentially allows government to resell what it has just purchased at any loss and immediately replace it with more garbage assets. Additionally, this recent measure allows the Treasury to buy assets from foreign financial institutions that do business in the US (nearly every financial institution does business in the US.) Another recent change in 'the plan' allows the Treasury to buy any other troubled assets. We're left to our imaginations as to what that means.

All over the world, short selling is being persecuted and subsequently banned. The results of this mean a massively heightened probability of stock market crashes.

Watching the market reaction late last week to rumours and announcements of these two measures, which shift the losses of Wall Street fat cats to the poor all over the world, was stomach turning. What this week will bring is unknown. All I know is it won't be 'stability.'

Lew Rockwell had some words and some book recommendations to help figure out where this crisis came from: Understanding the Crisis

Mike Shedlock had his take on the bailout.

I recommend readers watch Ron Paul's reaction to the news. Here is an interview he did today on CNN with Wolf Blitzer.

Yves Smith tells you why you should hate the treasury bailout.

I'm sure we'll be hearing about this enough as the week goes on, so I'll leave it there. Time for me to shut my brain off and watch some football - until tomorrow.

1 comment:

rubenh (thesocialreformer.com) said...

man i still cant believe they're doing this


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