Breeze: Did you read what you wrote about the derivatives market being only a few tens of trillions of dollars? You do realize the ENTIRE U.S. GDP clocks in at around $14.5Trn, right?
Also, your assertion that these hundreds of trillions of dollars worth of derivatives cancel each other out is false. Again, part of the problem. No one is entirely sure what’s out there, as it’s a largely unregulated market with little to no oversight, which has created a massive amount of uncertainty.
No, I’m not advocating the return of NINJA loans, and don’t be so insipid as to throw that pitiful strawman my way. Just because I don’t agree with you, doesn’t mean I’m agitating for a return to the stupidity that got us here.
Nope. All I was saying was this: The price of inaction in this crisis is potential systemic collapse. That doesn’t mean I agree with everything that’s going on. To the contrary, I think Obama’s team is bungling things badly, as evidenced by the AIG bonus fiasco and the fact that key players on his side were fully aware of that situation and then tried to salvage it with their phony cries of outrage.
And, I’m sorry, but the credit market remains pretty much a wreck, and on a world-wide basis. That’s the gravest danger we face right now, and where the strongest lessons of the Great Depression remain.
I’m sure your personal Oracle at Delphi, Mr. Mortgage and the inestimable Mike Shedlock have much to say on the subject, but remember this: They have the luxury of opining from the safety of their offices, while officials the world over have to handle this situation, and in real-time. That’s the telling difference.
Lastly, if all of this is being done for no other reason than to provide political cover for various cronies and evildoers, well, what does that say about your guy, Obama? Wouldn’t that, in essence, make him the biggest conspirator of them all?
