Paul Krugman: "The Zombie Ideas have won"

[steelmania75]

http://krugman.blogs.nytimes.com/2009/03/21/despair-over-financial-policy/?scp=1&sq=The%20Geithner%20plan%20has%20now%20been%20leaked%20in%20detail.&st=cse

From Paul Krugman:

The Geithner plan has now been leaked in detail. It’s exactly the plan that was widely analyzed — and found wanting — a couple of weeks ago. The zombie ideas have won.

The Obama administration is now completely wedded to the idea that there’s nothing fundamentally wrong with the financial system — that what we’re facing is the equivalent of a run on an essentially sound bank. As Tim Duy put it, there are no bad assets, only misunderstood assets. And if we get investors to understand that toxic waste is really, truly worth much more than anyone is willing to pay for it, all our problems will be solved.

To this end the plan proposes to create funds in which private investors put in a small amount of their own money, and in return get large, non-recourse loans from the taxpayer, with which to buy bad — I mean misunderstood — assets. This is supposed to lead to fair prices because the funds will engage in competitive bidding.

Check the link to read more.

[lostnotforgotten]

1. Can I Take My Vote Back - I Am Tired Of Trying To Influence Those That Are Philosophically Deaf

eom

[steelmania75]

2. Why are they still trying to keep the banks alive?

They need to be taken over by the government, because these CEOs don't know what the hell they're doing.

[pretzel4gore]

4. it's systemic, but we are played for fools

and you know whhat happens to a fool and his money?
Just reading 'What's the matter with Kansas' by Thomas Franks, and, it tells you how the alice/wonderland world works in moderne public politics, when poor people demand lower taxes on mr pig, and dooms his own offspring etc.
Maybe it's a genetic weed-out program run by ole mudder nature (and god the unlikely)?
it's embarassing to think subhuman goofs like kkkarl rove, bright hum, woof blitzer, david horowitz, richard perle, junyer the bush, tom delay, lara ingraham. anus kooulter, rush limbah-humbug and so-on are THE FUTURE O THEE SPECIES!
But it looks like they are.
Barack is the clean up man after a botched robbery....

[OHdem10]

3. We have driven into the ditch by years of giving preference to the

Investor Class. All advantages were given the upper class and business.
As a result we end up with a relatively small number of the uber rich
growing poverty and a dissappearing Middle Class. This is part of
Conservative Economic Fundamentalism.

The American People voted for change in direction of the country.

It appears this plan is more of the same. Principle One --Protect the
Investors. Continuing to dig in the same hole gets us same result.

I am one who has asked to give Geithner a chance. If this plan really
is more of the same, he had best go back to the drawing board.

[Deja Q]

5. Republicans say we have to pull ourselves up by our own bootstraps and pay for ourselves...

So how come, when they waste money and put it into these sickening shameful practices, they don't pony up one cent? Why are we socializing their failures? Why won't they play by the same rules?


/rhetoric