My conservative friends often say you cannot blame the President for the current housing crisis. However, 9/11 was partly due to his administration's negligence. Interest rates were lowered to 1% basically because of 9/11 to keep the economy from collapsing. Sustained 1% rates led to a system awash in easy money. That led to the current crisis.
I know that is simplistic but I think it has some truth and I'm a simple guy anyway. Maybe this is common knowledge but I've never heard this argument made.
John.
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Hear hear. On top of that, the Bush administration is addicted to corporate subsidies. They have been propping up companies like KBR via inflated contracts using tax dollars, and Bush's policies have help boost oil prices, to the benefit of an oil industry that is already pumped full of subsidy steroids. They won't allow a single outmoded airline to fail, and now they're intervening directly in the markets to bail out the same financial co's that over-invested in subprime real estate securities. There are so many bubbles yet to burst, housing is almost a distraction...
It is ironic that the system in this country is called "free-market Capitalism" is it not?? Most of these so-called free-market capitalists are now being revealed as intellectual frauds as they advocate GREATER centralization in the economy with this new Federal Reserve proposal...
what we need is DEcentralization!! NOW!! Will it cause a crash? yes...but there is going to be one anyway and the ensuing centralization will simply ensure that the Wall Street illuminati will be able to feather their own nests and get bailed out by their Red Beijing buddies while the country they were supposed to be serving sinks and starves.
And another thing...does anyone really think there will be no geopolitical repercussions over the next 18 months as the US sinks into a depression or near one?? The enemies of this country are salivating and waiting. One such salivating slug will be shaking hands with his "good friend George" in a few days.
Read your 21 year old copy of the Rise and Fall of the Great Powers for the effects of economics upon military affairs.
John.
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