A CRISIS WASTED….
Courtesy of The Pragmatic Capitalist
The deception continues and the losers continue to win. We have now confirmed that Geithner made the banks whole on their AIG default swaps. If we had a government and an economy that actually punished those who made bad decisions (countries with such a system call this free market capitalism) we would have forced these companies to take their lumps. We would also fire Tim Geithner immediately. To make matters worse, we learn today that Fannie Mae is implementing loose lending policies that helped contribute to this housing crisis in the first place. Does anyone out there see what has changed in the last few years that shows we can avoid these debacles in the future? Thus far, it looks like nothing has changed.
How can you have a healthy capitalist system in which no one is punished for their mistakes and the losers never learn from their mishaps? We’ll find out over the course of the coming years. It sure looks to me like we have wasted a perfectly good crisis….
