Politics has indeed gotten in the way of real leadership. Both parties are choosing to avoid our real problems by hiding behind empty claims that no bail-out will cause economic calamity. Nothing could be further from the truth. A bail-out is about the only action that will guarantee the calamity that is warned about.
The bail-out will be a trillion dollar demonstration of just how unrepresentative the major political parties have become. Both Republicans and Democrats are hostage to big money interests and, folks, that does not include us. Clever deception about how a bail-out will rescue Main Street is the just the latest chapter in an on-going attack on true participatory democracy.
The passage of the bail-out will insure that there will be insufficient resources left to combat the free fall in the real economy where you and I live.
The real economy and the Wall Street economy could not be more different. The Wall Street economy deals in paper assets NOT tied to anything in the real economy. The paper assets of Wall Street are NOT tied to mortgages that are backed by houses. That link was severed. This created two assets out of one; one was still connected to mortgages backed by houses and the other asset was not. It is this second paper "asset" that was bundles, sold and inflated in "value". This non-backed asset was sold to foreigners and home grown speculators. This non-backed asset is the one that Americans will be saddled with by the bail-out.
In the real economy, four million real homes that once housed real people are foreclosed or in foreclosure. The bail-out plan provides an "opportunity" to adjust the terms of some mortgages but no help for those already out of their former homes.
In the real economy, unemployment is high and growing in every new report. This growth is due to falling sales that will not be addressed at all by the bail-out. Retail sales drive our consumer driven economy. There will be no seasonal sales rescue this year because the economy is in a growing recession.
A bail-out of any kind is actually pouring water INTO a sinking ship; this is not a useful strategy.
Ask your local congress person and your local congress wanna be person if they favor this torpedo?
This Wall Street bail-out has become bipartisan but that's the problem.
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