Mr Obama should be made a Living Saint

I can only cry wolf so many times before people cease to listen. Isn’t that what happened when several rational economists kept telling the financial world and governments that the sub prime mortgages would destroy the world’s economy?

Weren’t they ridiculed and laughed off the economic stage?

I am just staggered at the nonsense economics being practiced by the leading governments of the world, backed by a world bank and an IMF that ignores economics101.

“In the long term you cannot continue to spend more than you earn.” It is as simple as that.

I’m even more staggered that most of the rest of the economists and financial gurus are not joining forces to stop it. Maybe they’re just too busy making money in these volatile times to care? This is when smart people can make their fortune.

It seems no one has any integrity or moral strength anymore. It’s all about keeping on the “good side” of the White House.

We see the Doctors wearing white coats at the White House during an address by Mr Obama. They are there to support him even though national health care will make them government employees and determine their salaries. They are there even as President Obama attacks their profession.

We see big powerful Insurance companies crumble and make a deal with the White House even as they are being vilified by them. Why are they not standing up as one and demanding free market access to do business in all states without being shackled by state governments demanding they offer special insurance to their voters to ensure they stay in power. (Update – Now they seem to be fighting back but not for more competition, just to maintain the status quo)

What happened to the people who built the great pharmaceutical companies of America and created fabulous drugs that have helped save the lives of millions of people. Over the years they have lost their way and are an easy mark for government manipulation. They have made a deal with the White House and taken their punishment quietly.

Congress talk about bending the curve on costs for the health care. This is yet another nonsense the health care . Didn’t King Canute try that with the sea? How did that go? He did it to let his people know he was not God.

Bernanke and the gang of Obama Courtiers (economists) said they will do whatever it takes to stabilise the economy. Short-term actions that may well give the appearance of working, with the massive injection of cheap money being put into circulation and much of it ending up being risked on the stock markets.

But at some point robbing Peter to pay Paul will have a day of reckoning. And when it does these misguided economists will try and find some way to escape out from under their idiotic economic practices. But they won’t be able to do it and the world economy will suffer once again.

Then there will be a whole bunch of theories as to why it didn’t work. But that won’t help you and your Nest Egg. It will be locked up in a managed fund frozen to protect you from yourself they’ll say.

You don’t need to be an economist to realise that the people in charge of the treasury and the government finances are off the planet.

You cannot just take a few trillion dollars of bad debts in the banks and put them aside and then let the entities that own them grow bigger with tax-payer dollars and carry on trading as if nothing has happened. It is just plain crazy. Balance sheets don’t balance when you do that. The ledger has to be right.

You cannot print money to buy a bond back that you sold on the open bond market just a few hours earlier with the agreement you would buy it back because no one wanted to buy it anyway. Buying back your own debt with printed money is lunacy. It’s like trying to pick yourself up by your own bootlaces.

You cannot create a new car company out of a bankrupt one by voiding the legal bankruptcy process, leaving all the debt in the old shell of a company, destroying the bond holders and investors value, protecting the unions and virtually giving them control of the company and like Lazarus have a new powerful and profitable car company rise again.

Unfortunately most people cannot be bothered to think about their investments. That includes many baby boomers. Many won’t even look at their monthly investment returns if they think they are bad. So no one is held to account.

They prefer to rationalise and “hope” the government knows what they are doing. In the short term their idiotic economic meddling will appear to work. But you need to look at the longer term consequences of printing money, meddling in private business, suspending bankruptcy laws, voiding or modifying contracts for housing, taking over banks and spending tax money on unproductive activities.

With the stock market rising and green shoots appearing because of the world-wide stimulus and printing of money most people want to believe the financial crisis is over.

If it is we have a genuine miracle on our hands and Mr Geithner should be made a living Saint. We are all witnesses to it. It should be a no-brainer for the Pope to confer sainthood on him.

But then again with President Obama being awarded the Nobel Peace Prize maybe he should be made the Saint as that would have far more “potential” for him to create miracles in the future.

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