While the leaders of this nation negotiated a new bailout deal over the weekend, things seemed pretty normal on the Northern Neck. I got a chance to see some bald eagles that were on "The Cliffs" of Richmond County, geese were moving South and the weather forced farmers to take a break from long harvest days.I rarely delve into national policy, but while the bailout deal won't change whether there is rockfish migration this fall, it will change just about every aspect of American Capitalism.
As I am writing on deadline, I do not pretend to know everything in the 110 page bailout plan, nor do I know if it will even pass in the House of Representatives today. However, there are some things that I do know.
Free markets depend upon risk, reward and failure so that they can make long term efficient decisions. Indeed, the very efficiencies of big picture economic decision making means that - to avoid a future crisis -- there must be some losers on Wall Street and in the investment community.
cont'd after the jump....
If the bailout bill insures that the people who should lose big do lose big, then it is probably acceptable and deserves passage.Those people who take the biggest risk of time, talent and capital in the free market deserve to get the biggest return. However, everybody who has ever opened a lemonade stand knows that those who risk the reward also risk getting stuck with some lemons.
It is a firm understatement of fact that $700,000,000,000 (700 Billion dollars) is a lot of money - even judged by federal government standards. And, it is also true that the markets need help - I am not so Pollyannaish as to say that we should let complete economic meltdown occur without any action.
However, those who buy too many lemons - whether for loans or for a lemonade stand - should bear the responsibility they took with that risk. It is not the responsibility of the American taxpayer to reward bad economic decisions - and that is what this bailout deal appears to be, a reward of bad economic decisions.
Meanwhile, the earth as God designed it will move on. Fish will start their fall run, deer will start their rut, and the fields will dry up enough to finishing harvesting the crop. And, depending upon the action of Congress, there may be some extra lemons to go around.
Albert C. Pollard, Jr.
The bottom line is this bill, which was just voted down, is going to inflict economic damage to tens of millions of Americans. It will kill the financial and credit markets and drive unemployment level skyhigh.
Cities and states across the country will go deeper into the red as unemployment drives tax revenues down.
And imagine the stress on those who are retired or about to retire.
Get a fricking clue Albert!
The effects of trickle down economics are going to show up in a way he'll surely regret. It will accelerate what is already a bad economy for a many Americans.
There is nothing to like about this situation, but the misery of a depression yet to come is worse then this financial medicine to prevent or soften it. I hope Delegate Pollard will be able to keep his farm, hunt and fish,etc. But retire?? probably not .... and his kids ... well I'm sure a reordered global economy will be kind to his and mine.
Sorry I don't really think that. I've been to Shanghai. I've seen first hand the bright youthful faces toiling away in factory jobs for $8 dollars a day. At least that's a bit better then the $1 dollar a day my Dad made at a bakery during the great depression. At least those Chinese youth have a job
Yes those lemon-heads on Wallstreet sure have it coming to them. In a year see how it comes back to you.