All We Have To Fear Is Government

The economy has gotten so bad, that even prostitutes are instituting a buy one get one free policy and getting in line for a government bailout. Come to think of it; the executives of the big three auto companies have a lot in common with these working girls. They’ll do any for money too. At least the working girls are providing a service in demand.
Now the states ‘hat in hand ’are joining the bailout line along with the RICHIE Richs’s of wall street, Tom, Dick and Harry, Insurance companies, credit card lenders, media outlets , Fannie, Freddie and Fonzie, major banks, and coming to a theater near you, drug dealers from the hood.

Look; here’s what you need to know………
This alphabet bailout has as much chance of working as Senator Robert Byrd has of forming a coherent thought, Not Bloody Likely!
Ignoring the equal protection clause our Federal government has taken upon itself the ordained responsibility of picking winners and losers. Those taxpayers working in factories owned by Nissan, Toyota, Honda and Kia located within our borders will be “through forced benevolence” counted upon to support the very companies they are competing against. Think of it this way; you make DVD’s for a living and are forced to subsidize your neighbor who produces VHS tapes and buys houses he can ill afford. After all; just add Mom, apple pie and Chevrolet; Then Ford, Chrysler and Citibank. It’s like Threes Company without Mr. Roper. All punch lines with no straight man or straight talk

“The Senate banking”, committee; along with the era of central planning” “socialist cabal, I.E. Ben Bernake, Henry Paulson ET. Al.” has taken upon them the mantle of but plug to the American economy, when what needed be is a fire hydrant enema of biblical proportions. The only arbitrator of success should be the market. {Emphasis Mine} Capitalism is simply the Freedom to engage in commerce.

Provided autonomy; markets work, capital seeks profit, production, equity and competence is rewarded. Conversely; Incompetence, government influence and irresponsible leverage is punished.
The business model of capitalism, “left to its own devices” cannot be improved upon or tweaked by government. Capitalism doesn’t pick winners or losers; it simply defines success and failure by rewarding one and punishing the other.

Enter GSE’s or “government sponsored entities”, also known as, “destructive economics”. This phenomenon began with Fannie and Freddie and has spread like a virus into our banking system, corporate America and soon to the big three. Ostensibly, GSE’s cannot fail as they are backed by the full faith and fortune of the government, our tax dollars. Taking failure off the table removes accountability and adulterates capitalism into socialism. Capitalism distributes wealth unequally; Socialism distributes poverty equally.

The government’s rationale for dog-piling itself into every nook and cranny of our economy is the dark and barren financial predictions of doom and gloom, the end of time. Obama claims to create two million jobs with his autocratic benevolence.

Back to destructive economics; I can create jobs in my home town by breaking every plate glass, storefront window in the downtown area. Glaziers would hire more employees, glass suppliers would boom and window installers would be taking whole hogs home instead of just the bacon. But, I have created those jobs by taking money out of pocket, “A” just to put it in pocket, “B”; destructive economics. This is government job creation in a nutshell.
It’s too dangerous a time in the yet un-written history of America for our benefactors in Washington to be fiddling while Main Street burns. Our economy is in deflation, a much more serious financial ill than its evil symbiotic twin; inflation. Deflations result in depressions; inflation is part and parcel to recessions. Deflation is simply too many goods and services chasing too few dollars. Inflation is too many dollars chasing too few goods and services. It’s fairly simple and doesn’t require a degree in higher math.

Here comes Uncle Sam, at a time when government should be seen and not heard. Treasury is loaning $trillions of dollars to banks who in turn are buying other banks and, “you guessed it” buying treasury bills. Think of it as the banks putting all of their money under the mattress.

What government can do? Frankly, we’d be money ahead just to pay congress to go on vacation for a couple of years. Anything they do, “short of nothing” will only exacerbate current financial woes and insure America suffers the great depression two.

As government jumps into our markets with both feet and takes warrants in our financial and industrial markets they reinforce investor’s fears. Literally $6 trillion dollars of investment equity remains sidelined in fear of competing with Uncle Sam and his striped, deep pockets.
For instance; will Toyota, Nissan, Honda, Kia, et al. continue to transplant factories into this country, knowing the united auto workers have access to the treasury of the United States?

Conversely; what investor would employ capital into General Motors knowing full well that common stock in GM® now takes a back seat to the federal government and 330 million Americans?

Though it isn’t represented in the text of our constitution, we are incessantly beat over the head with the liberal mantra, “separation of church and state”. For our union to survive I would postulate this; what we should abide is a separation of capitalism and government.
Conservative Springfield 09 DEC 08