On Mon, 17 Mar 2008 12:03:29 -0400, "Ed Huntress"
wrote:
snip
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Q: why do we have to read a UK paper to get this depth and
quality of analysis?

Because the quality of the analysis isn't necessarily very good. They've
focused on the view from their side of the world, and on the consequences
that they may face. It's actually a short-sighted view, in light of the
longer consequences of the situation. We're more focused on the consequences
*we* may face.

For a short but penetrating take on it, Krugman's column today is more
relevant to what's going on here, "The B Word":

http://www.nytimes.com/2008/03/17/op...rugman.html?hp
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As usual Krugman asks the right question and then quits.

"So here’s the question we really should be asking: When the feds
do bail out the financial system, what will they do to ensure
that they aren’t also bailing out the people who got us into this
mess?"

At some point the standard excuses of ignorance, incompetence and
mischance are no longer adequate. Where are the special
prosecutors? Where are the grand juries? Where are the writs of
attachment on the proceeds of criminal activities? As dangerous
as the military-industrial complex is, it is a piker compared to
the peril of the political-financial complex.

If we several jumbo jets a day were crashing, the NTSB would act.
It a refinery or two a day was exploding and burning, OSHA would
act. If they did not the courts [or the people] would have the
administrators' "head on a pike," along side the responsible
elected officials. The FDA had no problem forcing a packing
company to recall beef produced from "downer" cows, even though
this bankrupted the business, because of the danger of the
transmission of "mad cow" and other pathologies.

Why then are the SEC, IRS, CFTC, etc. allowed to do nothing,
although the daily loss of capital is similar (but several times
larger)? If the FAA/NTSB can ground aircraft for possibly being
non-airworthy until these can be inspected, why not "ground" the
banks, brokerages, private capital and hedge funds until their
financial condition can be verified.

If Joe Sixpack, who gained little and lost much in the run-up to
this upheaval, is to lose his job (again), his home, his car, his
savings, his 401k etc., simple fairness dictates that the people
that created this catastrophe (and profited highly from the
run-up), either because of incompetence or veniality, should also
lose their jobs, their homes, their cars, their planes, their
boats, their deferred compensation, etc.


Unka' George [George McDuffee]
-------------------------------------------
He that will not apply new remedies,
must expect new evils:
for Time is the greatest innovator: and
if Time, of course, alter things to the worse,
and wisdom and counsel shall not alter them to the better,
what shall be the end?

Francis Bacon (1561-1626), English philosopher, essayist, statesman.
Essays, "Of Innovations" (1597-1625).