One of the cleanest recaps on what's happening that I've seen....and with a positive view of the horizon. Well done.
One of the cleanest recaps on what's happening that I've seen....and with a positive view of the horizon. Well done.
One of the clearest recaps of what's happening that I've seen....and with a positive horizon line rather than gloom and doom. Well done.
This link of a CSPAN video clip may help set the context, as these hearings were at the time of McCains attempt at S.190.
http://www.youtube.com/watch?v=_MGT_cSi7Rs
"Video Unearthed Democrats in their own words Covering up the Fannie Mae, Freddie Mac Scam that caused our Economic Crisis"
Trickle down economics no lonter works. It worked fine in the past when we were trying to spend Russa into the grownd. It worked and the wall fell. Now we are faced with a new reality. Republican conventional wisdon is to grant corporations huge new tax incentives and give the wealthy more money. The middle class has suffered the greatest redistribution of wealth since the crash. There has to be a balance. There will be no restoration in the markets unless the middle class starts to save andthen has enough money to purchase.
Even Bill Clinton points to liberal Congressional Democrats??? protection of Fannie and Freddie from scrutiny as a primary cause of the current economic meltdown.
http://www.youtube.com/watch?v=XsynspIqAoE
Fareed, also consider the effect of capital gains taxes being much lower than income taxes.
Incentive to create asset bubbles due to Republican social engineering.
In a few weeks we will make a choice that will decide our future.
I follow an economist named Bob Proctor. He has called the top and bottom of every market crash since the 70s correctly.
Also, he perfectly predicted the current real estate market meltdown and the picture he paints about what will happen in the next couple years
is terrifying.He thinks it will be worse then the great depression.
The banks in the U.S. are going under one after the other. Countrywide ,Bear Stearns, Lehman Brothers and Merrill Lynch , Fanny and Freddy Mae ,AIG
The government took them over because they are essentially bankrupt. Even with the goverment nationalizing hundreds of billions of dollars in debt the stock market is crashing
the credit markets are frozen and all of us may suffer beyond anything in the last 80 years.
McCain just like Bush " doesn't understand the economy".
That not just my opinion its his own words. Not only does he not understand how to fix it but he does not understand exactly what is broken.
It is no surprise that he doesn't. The people that make up these securities use complex mathematical models very few people understand.
Bush and McCain both can take the credit for this mess since they helped deregulate the laws that were protecting us.
Bush's economic advisor Phil Graham wrote the deregulation bill that allowed banks to take huge risks with all of our future.
Now, Phil Graham is the head of McCain's economic policy.He is also McCain's choice for the next secretary of the treasury.
No one in this country can afford for that to happen. The last time Bush met with his economic advisors was in March. He didnt realize that anything was wrong. Phil Graham had the guts to say that we are in a mental recession after he helped create the worst economy meltdown in our lifetime. Check out this link to the truth http://my.barackobama.com/keatingvideo
It will take the best and brightest minds in the world to get us out of this nightmare. As bad as Bush has done, McCain would be
even more destructive because things are in much worse shape. The next president will not inherit a surplus like Bush did but a crashing economy and a 11,600,000,000,000 (trillion) dollars deficit. Most of it Bush created and it will take decades to pay it back.
If you do what you have always done then you will get what you have always got.
When it comes to policy Bush and McCain are the same 90 percent of the time.
So why are the polls even close then ?
Mccains team just said they no longer want to talk about the economy.Instead they would like to spend time talking about obama
which means running the biggest smear campaign in history.
They think they can just tell you lies and you wont be smart enough to see through it
Let's teach him we are smarter than that .
Elect Obama Biden 2008
Check out this video of sarah palins interview and ask your self if she understands what she is talking about.
http://www.youtube.com/watch?v=r36Xc0GG4iQ
Excellent comment! Let's not forget earlier this year our president wasn't aware of rising gas prices. Out of touch? To quote Sarah Palin: "You betcha!"
http://www.youtube.com/watch?v=2EKZOKxdxj4
Other than the confidence in governments' ability to successfully stem this crisis and the implicit endorsement of Barack Obama, this sounds a lot like what Congressman Ron Paul has been saying for years. Maybe you should all start listening to him.
And one word of caution: yes, the government has nearly unlimited tools at its disposal to help us cope with this crisis, but every single one deprives us of essential American liberties. The government's response will constitute a financial Patriot Act, and in a few years we'll all be pointing fingers over the fallout. It's a shame that so many people accept a loss of liberties in the name of security - see which one's virtues endure the longest.
In a few weeks we will make a choice that will decide our future.
I follow an economist named Bob Proctor. He has called the top and bottom of every market crash since the 70s correctly.
Also, he perfectly predicted the current real estate market meltdown and the picture he paints about what will happen in the next couple years
is terrifying.He thinks it will be worse then the great depression.
The banks in the U.S. are going under one after the other. Countrywide ,Bear Stearns, Lehman Brothers and Merrill Lynch , Fanny and Freddy Mae ,AIG
The government took them over because they are essentially bankrupt. Even with the goverment nationalizing hundreds of billions of dollars in debt the stock market is crashing
the credit markets are frozen and all of us may suffer beyond anything in the last 80 years.
McCain just like Bush " doesn't understand the economy".
That not just my opinion its his own words. Not only does he not understand how to fix it but he does not understand exactly what is broken.
It is no surprise that he doesn't. The people that make up these securities use complex mathematical models very few people understand.
Bush and McCain both can take the credit for this mess since they helped deregulate the laws that were protecting us.
Bush's economic advisor Phil Graham wrote the deregulation bill that allowed banks to take huge risks with all of our future.
Now, Phil Graham is the head of McCain's economic policy.He is also McCain's choice for the next secretary of the treasury.
No one in this country can afford for that to happen. The last time Bush met with his economic advisors was in March. He didnt realize that anything was wrong. Phil Graham had the guts to say that we are in a mental recession after he helped create the worst economy meltdown in our lifetime. Check out this link to the truth http://my.barackobama.com/keatingvideo
It will take the best and brightest minds in the world to get us out of this nightmare. As bad as Bush has done, McCain would be
even more destructive because things are in much worse shape. The next president will not inherit a surplus like Bush did but a crashing economy and a 11,600,000,000,000 (trillion) dollars deficit. Most of it Bush created and it will take decades to pay it back.
If you do what you have always done then you will get what you have always got.
When it comes to policy Bush and McCain are the same 90 percent of the time.
So why are the polls even close then ?
Mccains team just said they no longer want to talk about the economy.Instead they would like to spend time talking about obama
which means running the biggest smear campaign in history.
They think they can just tell you lies and you wont be smart enough to see through it
Let's teach him we are smarter than that .
Elect Obama Biden 2008
Check out this video of sarah palins interview and ask your self if she understands what she is talking about.
http://www.youtube.com/watch?v=r36Xc0GG4iQ
You keep confusing, on purpose it seems, the debt and the deficit.
The surplus that GW inherited was due to Republican efforts to lower tax rates and add more tax-payers to the tax rolls rather than have people collect a check from the government.
Also interesting that you and all democrats seem to have conveniently forgotten 9-11-01 and the devastating effects on the economy and that we ahave been fighting those who are eager to kill us, including YOU!
The Debt consists of two parts: Public and Private. 60% is our debt and 40% is the governmnent's Debt, which is now 9.5 TRILLION DOLLARS!
Lowering tax rates has increased revenue from 1 Trillion in 1992 to 2 trillion in 2000 and since GW lowered tax rates it has DOUBLED to 4 TRILLION!
Where did this money come from if lowering taxes lowers revenue???
Cani77 - I respect your opinion but why do you need to mislead about the deficit? Bush inherited a multi trillion dollar deficit from Clinton (who also inherited one coming into office). The surplus was in the federal budget. You are comparing apples with oranges and you know it (I hope!) . I've seen this same claim in a "paper" being circulated by Michael Moore. I'd respect your opinion more if you'd tell the whole truth.....The USA has carried debt for 50+ years.
America's Challenge...
On a purely academic level, I agree with Fareed Zakaria's assessment of the challenges facing America and the roadmap to their resolution.
However, as a society, America must first overcome its inherent social ills, which doom it to perpetual state of Rise and Decay, before she can truly rise to the greatness envisioned by its Founding Fathers.
For instance, the average American reads at an 8th grade reading level.
Therefore, the average American's ability to understand her challenges and remedies decrease as the complexity of those challenges and remedies increase.
As a result, it is much easier to rally American's around simple issues like War (Them vs. US), Religion (Christians vs. Pagans), Guns (Crime and Punishment) and Taxes (Increasing vs. Decreasing).
It has proven not to be politically expedient to attempt to rally them around the complexity of each of these issues.
To his credit, Karl Rove has proven to be somewhat cerebral in understanding this simple fact to the benefit of the Republican Party over the last 2 Presidential elections.
The current American crises have not made the complexity of the issues facing Americans easier for them to understand, it has simply made the impacts of their failed resoultion "personal."
Regrettably, given the political climate of espousing and condoning xenophobic rhetoric in an erratic attempt to appeal to the lowest form of American citizenry, Fareed Zakaria's illustrative dissertation may fall on deaf ears.
Unfortunately, you are correct. The lowest common denominator, and the vast majority of the American voting population, vote religion, guns, and war. Carl Rove is (was) brilliant in mastering the concept.
Hopefully, this year America will have a "Come to Jesus meeting" moment and vote with more awareness and understanding of the truly critical issues.
Unfortunately, you are correct. The lowest common denominator, and the vast majority of the American voting population, vote according to religion, guns, and war. Carl Rove is (was) brilliant in mastering the concept.
Can we hope this year America is having a "Come to Jesus meeting" moment?
Competition is NOT good if you mean that American workers can and should compete with Chinese workers making less than a dollar an hour. American workers need to be shielded from that competition in a worled in which capital is mobil and can go wherever labor is cheapest and most plentiful. High tariffs are of course the time-honered way to erect such a shield (See Paul Samuelson's famous article on "Protection and Real Wages." But there is another and a better way: wage subsidies for America's low-skilled workers financed by higher taxes on those who derive most of their income from capital -- ie, the extremely wealthy. Do we know how to do it without destroying the incentives to work, save, and invest? If not we better learn how. A good place to start is with the concept of a progressive consumption tax. See the Born-Again Democat Platform.
the best analysis i read so far about us finanical crisis. how come on one point out responsibility of Mr Bush as us president for last 8 years. as CEO of any big company should take blame for its failure. three main reason for this crisis is irresponsible business practice, irresponsible government supervision and iresponsible customer behaviour. the rest of the world should not count on USA anymore.
My high school history teacher had a saying framed on his classroom wall: "The world's history is the world's judgment." Humans make the same mistakes over and over again. This essay is the best I've seen (in nonacademic language) about what got us into this mess and what it wil take to get us out. I'm 60 and my generation hasn't been very good at self-discipline...a flaw we've passed along to our own kids.
McCain/Palin: American White Man Worst Terrorist!
Osama Bin Laden successfully committed one of the greatest terroristic acts ever committed on American soil in recent memory.
Instead of stating this fact at their rallies, McCain/Palin has decided that an "American" white man named Bill Ayers is the worst terrorist in recent memory.
McCain/Palin is so desperate to win a Presidential election that they are willing to mislead the American people and the World into believing that the "White Man" is the personification of evil.
Regardless of who is writing this un-American jibberish for McCain/Palin, McCain/Palin are personally responsible for promoting it!
Thankfully, the Economy is keeping the American people focused on the issues, which is making the McCain/Palin ticket irrelevant.
Just exactly what lesson will we really learn from this crash? I am retired, debt free, having saved to sustain myself in my old age. It now appears that the defaults which we are now witnessing can ultimately be paid for by printing more money. The prudent will be paying for the bad decisions of those who chose to recklessly run up their debts, both public and private. The lesson is to beggar thy neighbor next time and sppend him inot the poorhouse.
A brilliant analysis. One of the best I've read since the crisis began. Bravo.
This link of a CSPAN video may help set the context, as these hearings were at the time of McCains attempt at S.190.
http://www.youtube.com/watch?v=_MGT_cSi7Rs
"Shocking Video Unearthed Democrats in their own words Covering up the Fannie Mae, Freddie Mac Scam that caused our Economic Crisis"
I think this article could be summarized by saying the difference between where we are and where we ought to be is the difference between marketing and engineering.
Marketing deals in beautiful fantasy. Engineering deals with ugly reality. But only one of those two disciplines is stuck with making things actually work.
China is run by engineers. America is run by marketers. Guess who's going to have the last laugh?
In certain ways it is actually beneficial to USA that this crisis has spread around the globe...with nowhere to run...people will run to who has the biggest guns....look at the ironic strenghtening US dollar..
I don't fear Obama directing the operations of industries the US have bailed out. I don't belivwe he will do it. I fear Nancy Pelosi, Harry Reed, and the democrats in office telling industries how they will run their business. After all McCain and a few other republicans wanted to reel in Fannie May and Freddie Mac, but house democrats stopped it in the name of social justice. Imagine if Nancy pulls another "I'm trying to save the planet" by twisting the arm of the banking industry.
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