All Bad News, All the Time

The Wall Street Journal has turned into a herald of horror. Every morning I emerge from my toasty bed, trample the now-frosted grass to grab the paper. Lately, I anticipate learning what kind of affront the government decided to propose against the American people in the dead of night. The numbing effects of a bad economy have taken over, I believe. We've all rolled over and played dead, in hopes that the government will breathe a little cash flow into our sorry pockets whether we've earned it or not. Every day I write a roaring Letter to the Editor, but I'm sure its ring is stifled into paltry squeak of objection amidst the clamor of support for these frightening proposals.

Culprits are not relegated to party lines. When things get this bad, party leaders from both sides are ushered into rooms until they can agree on a plan both sides hate equally. Then they unleash the fury on unsuspecting innocents they claim to represent! Bush unveiled another whopper this morning. "The Bush Administration is weighing a roughly $40 billion proposal to help forestall foreclosures...the government [to] give banks a financial incentive to turn troubled loans into more-affordable mortgages...the government would share in any future losses on the new loans with lenders." Photo by respres

Where do I get in line?

If you are not morally outraged when you read that, you must be on the side of the blessed recipients. I am not. I pay my mortgage, on time, every month. I pay my bills and save as much as I can, live within my means. Why are those who cannot afford their mortgages and banks who made bad loans rewarded for their behavior? If you ask me, you should be handing the free money out to those who know how to use it wisely. That's called putting capital to productive use.

If there is a moral to the story of the ongoing bailout it is this: it truly pays to be a loser. Here I thought I was bright: saving my money, working long hours, getting a graduate degree. Had I known the government would punish me and reward my neighbors who sit home collecting welfare, unemployment, and watching Judge Judy, I'd have asked them to make room on their couch for me.

Then Obama and his ever-expanding cadre of economists sympathetic to the plight of the unproductive and fraudulent among us announce delectable plans to carve fat-cat riches away, "They are looking too plump these days!" They are like a schoolyard bully who trots up to the kid whose momma loves him enough to pack a lunch, "I have an idea Billy, let's share our lunches...give yours to me!" The bully snatches and runs away.

Barney Frank boasts, "I think at this point there needs to be a focus on an immediate increase in spending and I think this is a time when deficit fear has to take a second seat...I believe later on there should be tax increases. Speaking personally, I think there are a lot of very rich people out there whom we can tax at a point down the road and recover some of the money."

Barney, you are my hero! Most politicians really sugarcoat their B.S. You just let it rip. But seriously, you shouldn't have said that...unveiling your plans could prove detrimental. "The Rich" are far more mobile than you imagine. Have you heard the term "capital flight?" There is no more surefire way to send productive capital away than to announce your plans to take it. Despite the "global meltdown" there are countries with far more favorable environments for business and those looking to growth their wealth.

I believe we are in for a long, miserable decline. Photo by The Wandering Angel