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Krugman -- Adults needed, immediately.

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understandinglife Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 12:03 AM
Original message
Krugman -- Adults needed, immediately.
Edited on Fri Sep-26-08 12:06 AM by understandinglife
on both the right and the left are outraged at the idea of using taxpayer money to bail out America’s financial system. They’re right to be outraged, but doing nothing isn’t a serious option. Right now, players throughout the system are refusing to lend and hoarding cash — and this collapse of credit reminds many economists of the run on the banks that brought on the Great Depression.

It’s true that we don’t know for sure that the parallel is a fair one. Maybe we can let Wall Street implode and Main Street would escape largely unscathed. But that’s not a chance we want to take.

So the grown-up thing is to do something to rescue the financial system. The big question is, are there any grown-ups around — and will they be able to take charge?

<clip>

The bottom line, then, is that there do seem to be some adults in Congress, ready to do something to help us get through this crisis. But the adults are not yet in charge.


Senator Obama - TAKE CHARGE.
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DCKit Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 12:36 AM
Response to Original message
1. Assuming it's not a manufactured crisis.
The more information that comes out and knowing the players involved, I think it's a big, steaming pile of bullshit.

IF the government is going to take any action, it needs to be ownership of the companies, not their bad debt.
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Naturalist Donating Member (163 posts) Send PM | Profile | Ignore Fri Sep-26-08 12:37 AM
Response to Reply #1
2. IT'S MANUFACTURED MONEY
Now it has to be a manufactured crisis.
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knowledgeispwr Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 02:51 AM
Response to Reply #1
6. A fire is a fire.
It doesn't matter too much if lightning started it or that bad-ass kid down the street did. It'll burn your house down either way if it isn't fought.
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McCamy Taylor Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 03:39 AM
Response to Reply #1
9. Who would manufacture it? It is killing McCain. The GOP did not want it.
Edited on Fri Sep-26-08 03:41 AM by McCamy Taylor
China and the Saudis have the money to make a run on the stock market, but they favor Republican control of the White House, so no way they would do it.

The Japanese have the power to make a run on the stock market. Do you think that they did it to boost Obama's chances? I haven't heard anyone mention any weird financial trading by the Japanese.

Who else in the world could trigger a Wall Street crash?

Consider this possibility: Wall Street panicked because McCain was up in the polls and he and Palin are both shit for brains.
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unblock Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 05:26 AM
Response to Reply #9
11. they did want the fire to get out of control, they just wanted to play with it.
instead of putting it out a year ago.
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DeltaLitProf Donating Member (459 posts) Send PM | Profile | Ignore Fri Sep-26-08 01:55 AM
Response to Original message
3. I'd like to know more about this line.
"Right now, players throughout the system are refusing to lend and hoarding cash."

Why aren't there reports of this happening yet? Why isn't there data on how many loan applications have been rejected this week versus this time last month?
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WCGreen Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 03:57 AM
Response to Reply #3
10. You don't need any reports to se that short term money is costing
more than it did a week aga. This is the money that compaies borrow in order to get them through unexpected cash crunches. Say taking adbantage of a good inventory buy, or bringing on new workers to meet temporarily expanding demand.

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HCE SuiGeneris Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 01:59 AM
Response to Original message
4. "Obama, take charge"
You are putting a hell of a burden on Obama and the Democratic Party just before the election.
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knowledgeispwr Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 02:49 AM
Response to Reply #4
5. People seem to think Obama has a lot more power than he has. n/t
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leftofthedial Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 03:15 AM
Response to Original message
7. this corrupt, greed-based system will destroy our species and our planet eventually anyway
propping it up with another trillion dollars of imaginary money will just make the problem worse and will just make it last longer.

Capitalism is the enemy of life. It is utterly false and unsustainable. The collapse of this house of cards is inevitable, whether we shore up its decaying flanks with a pile of paper or not.

I have zero invested in this economy other than a very modest mortgage. I will not be borrowing money ever again. I know that the economy is huge and pervasive and it affects us all. I'm not an idiot. I don't live in a bubble. I'm not immune from the downside. But "saving" this monstrous con game concocted by the ultra-rich to keep the rest of us "in our place" is not worth a nickel to me, much less the thousands the proposed "bail-out" will cost me and my kids (on top of the tens of thousands it has already cost us).
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Norrin Radd Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 03:20 AM
Response to Original message
8. Patience is needed, all around. Krugman could use a dose, as well.
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mmonk Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 06:29 AM
Response to Original message
12. Head in the sand politics is in play for political advantage.
The credit crisis is real. I guess a collapse will bring them out from their positions.
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democracy1st Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-26-08 06:30 AM
Response to Original message
13. Senator Obama - TAKE CHARGE.....take charge of what ?
Massive screw ups by these incompetent fools...So Obama and his advisors are suppose to magically have all the info avail to the Bush admin ?
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