The part I find compelling is that everyone agrees. At least everyone that matters. After hearing Buffet, Paulson, and Bernanke all say similar things and hearing most economically minded friends start fretting about commercial paper, it starts to beg the question of what if? The answer seems to keep coming back that most major employers would suddenly contract spending and lots of jobs would disappear.
On the “good” side, imagine how many jobs would stay in the US if everyone was so poor that other countries came to us for their cheap labor.
Paulson, Bernanke, and Buffet are “everyone that matters”? Paulson and Bernanke are either idiots or crooks or both. They’ve been saying things are fine for forever and now suddenly they are saying there is a crisis. Buffet is respectable, but he may just be talking his book. Bernanke could have stopped this long ago with prudent mortgage regulations but instead he did nothing and said the problem was “contained”.
I find Mish, Roubini, and Jim Rogers to be much more credible on these issues as they have been right about the housing bubble for so long. They each think this bailout is ridiculous and won’t work. There’s no doubt that credit is contracting and the commercial paper market may even be in a ‘crisis’, but attempting to reflate the bubble by overpaying for mortgages is not the solution.
As an aside, I have to give you credit for your pseudo-intellectual tone. You almost concealed the fact that you are a huge ‘tard.
