forgotston.com

Yesterday, we were told by the politicians who created the country’s current financial mess if they weren’t given $700 BILLION to fix their mess there would be financial Armageddon in American and around the world.

The media breathlessly reported that the Dow Jones average plummeted by 777 points.  That’s the single biggest point drop in the history of the Dow!  So.

What’s it mean?

The 777 point drop was a loss of 6.98%.

On October 19, 1987 the market lost 22.61%.

On October 26, 1987 the market lost another 8.04%.

In one week the market lost over 30%.

I don’t recall hearing about a financial Armageddon.

On October 27, 1997, the Dow dropped by 7.18%.

On September 17, 2001 the Dow dropped by 7.13%.

Apparently, we, as country, weathered those earlier downturns in the stock market without the collapse of civilization as we know it.

As 9:15 AM, the Dow has climbed over 250 points.  That’s a 2.6% gain.  So far, in two days the Dow has suffered a net of less than 5%.

More info needed

The sky may fall one day, but we need more evidence from our public officials before we agree to give them $700 BILLION to implement some Rube Goldberg bailout plan.

We don’t need to be told that we are too dumb to understand the Rube Goldberg bailout.  We need politicians who are smart enough to explain it to us. We are their bosses!

Have you ever told your boss that you have made a mess of his business; that he’s not smart enough to understand the problem,  but you can fix it if we will just give you more money.  If you had that kind of nerve, what was the result?

A proposal

We also need a plan that holds those who created the problem responsible.  That includes those in the White House and Congress.

Include in the next bailout plan a provision that until we see the long term results of the plan, the pay of the President, his advisors and Congress is suspended.

I wonder what the outcome of the vote will be in Congress if the Congressmen actually have something at stake.

C.B.

1 CB 9:59 am

Today, I’ve been listening to attempts by members of Congress to explain the need for the $700 Billion financial bailout.

The universal response to the question posed to the politicians of why a majority (57%) of us mullet/voters are opposed to the massive bailout is because we are too dumb to understand the problem.

Despite not hearing one politician able to adequately articulate either the cause or the solution to the alleged problem, we are the ones being called dumb. That reminds me of a quote by Bishop Richard Whatley: “He who is not aware of his ignorance will only be misled by his knowledge.”

That said, the politicians may have a point. We were dumb enough to elect to office those who caused the problem.

We will continue to be considered dumb by those we entrust with our money, lives and property until we start demanding accountability from our public officials at all levels.

C.B.

1 CB 2:19 pm

“Significant problems we face cannot be solved at the same level of thinking we were at when we created them.” Albert Einstein

Unfortunately, at this very moment, Einstein’s admonition is not being heeded in the U.S. Capitol.

Since the financial crisis being debated in Washington, D.C. began, I felt unqualified and inadequate to comment on such weighty financial matters.  However, after reviewing the proposed plans and the comments coming from those who we entrusted to make sure such an occurrence would not occur, I feel qualified and adequate to opine.

What are my credentials?

The same those in D.C. — I’m over 18 years old, a registered voter and I was born on American soil.

Additionally, unlike many in D.C., I’ve never been bankrupt and I can balance my checkbook.

The bailout

The proposed “bailout” is about covering the collective asses of those who have been “asleep at the switch.”

The politicians and bureaucrats made politically-correct, but poor policy decision for the private sector, to insure that financially-irresponsible could borrow money at the expense of all of us who have managed to live our lives responsibly.

The policy decision was a fraud perpetrated under the guise of the “American Dream” — home ownership.

Message to America

Why bother to be responsible at all.  This is America.  Don’t worry; be happy.  If you fail, the suckers who manage to live their lives responsibly will take care of you.

Under the new form of American Capitalism there is no risk because there is no such thing as failure.

Solution?

I don’t have the answer to all the problems created by our government.  Frankly, there are too many working too long on creating them.

However, I know throwing good money after bad is not a solution.

Thanks for allowing me to have my say.  I would say, thanks for letting me “put in my two cents,” but clearly this debacle is going to cost me way more than two cents.

I confess; I’m a sucker.

C.B.

1 CB 2:01 pm