Reuters had this article today: Geithner plan will rob American taxpayers: Stiglitz
The U.S. government plan to rid banks of toxic assets will rob American taxpayers by exposing them to too much risk and is unlikely to work as long as the economy remains weak, Nobel Prize-winning economist Joseph Stiglitz said on Tuesday.
“The Geithner plan is very badly flawed,” Stiglitz told Reuters in an interview during a Credit Suisse Asian Investment Conference in Hong Kong.
That about says it all, but read the rest if you want the details. Say good bye to the USA you knew, it’s gone now and will never be back.
The only real question is when Obama admits this, and when he starts to take actions that accord with this reality. Using more debt to escape debt is fools game.
Also make sure to read this week’s Full Commanding Denial article by Kunstler.
Everything that we’re doing right now is engineered to avoid reality, to sustain the unsustainable, to recover the unrecoverable, when the mandate of reality compels us to face our losses in order to move on to the next chapter of a collective American life. The next chapter would be a society that runs on a much more local and modest scale, centered on essential activities like growing food, requiring harder physical work, and focused attention — in other words, the opposite of a society lost in abstractions, long-range daisy chains of off-loaded responsibility, and incessant pleasure-seeking.