Campaign Updates and Media Headlines 9/15/08
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Financial Russian Roulette (by Paul Krugman)
Most of the business of finance is carried out through complex deals arranged by “nondepository” institutions, institutions like the late lamented Bear Stearns — and Lehman. The new system was supposed to do a better job of spreading and reducing risk. But in the aftermath of the housing bust and the resulting mortgage crisis, it seems apparent that risk wasn’t so much reduced as hidden: all too many investors had no idea how exposed they were… The real answer to the current problem would, of course, have been to take preventive action before we reached this point. Even leaving aside the obvious need to regulate the shadow banking system — if institutions need to be rescued like banks, they should be regulated like banks — why were we so unprepared for this latest shock?
“Massive Systemic Meltdown” (by Arthur Silber at The Power of Narrative)
Look at it this way. It’ll be something to tell your children about, as you all sit around the campfire and open your last can of food. Or you can learn to shoot moose. Of course, someone might still blink, putting off the day of reckoning for a few more weeks, or a month or two. But I doubt that can be done much longer. This will be a good week to be unconscious. Or heavily drugged. Your choice, because we’re free and that’s why they hate us. Or something.
No, it’s really not the economy (by lambert at Corrente)
No, it’s not the economy, no no no no no. That’s for the Clintons, but they’re not shiny. La la la la la I can’t hear you! Sarah Palin has a seaplane!
But wait! Maybe Obama’s meeting with the Big Dog last week did some good. See below.—Caro
Obama blames Wall St. crisis on Republican policy (AP)
CHICAGO - Democratic presidential nominee Barack Obama said Monday the upheaval on Wall Street was “the most serious financial crisis since the Great Depression” and blamed it on policies that he said Republican rival John McCain supports.
If Obama started acting like a Democrat, some of the disaffected might be willing to take another look. But it may be too late to woo back many of them. Click below for some of the reasons why many of us doubt his sincerity when it comes to issues.—Caro
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Carolyn Kay
MakeThemAccountable.com
