A Different Way

to look at Life, Health, Business and Politics

Panic, fear and the financial bailout. Just say “NO!”

Posted by Marietta chiropractor on October 1, 2008

Here we sit on the eve of another vote by the U.S. Senate on the $700 BILLION bailout of the financial industry.  We’re told that if this bailout plan is not passed immediately (virtually WITHOUT review) that we could be headed for another Great Depression and that people retirement accounts will vanish into thin air.  As for me, I say “STOP!”

If a problem that has taken AT LEAST a decade (probably two) to manifest itself, how can we expect it to be restored with ONE fell swoop of the Congress.  And worse, how can we expect any different results when the VERY same people who allowed this debacle to be in charge of doling out the money?

The collective wisdom of a HUGE majority of Americans are skeptical (at best) about the validity of doomsday predictions if the Paulson Plan fails to pass.  Most Americans STILL oppose the bailout.  Yet, despite the will of the majority of Americans, arrogant politicians apparently feel that you are simply stupid and can’t possibly understand the complexities of the issues at hand.  However, those politicians don’t seem to understand that what the electorate DOES understand is that If business is allowed to profit from such careless practices, then businesses should be allowed to FAIL when those practices cause them financial calamity.

This whole scenario is akin to going to the doctor when you have a cold only to be told you MUST check in TODAY for emergency surgery WITHOUT fully explaining to you what is wrong, what are the procedures being recommended and why, and what are your chances of recovering or even dying on the operatiing table while TELLING you to sign a waiver “just in case” something goes wrong.  Who wins in THAT scenario?  Certainly not you, the patient, who will pay the bill and deal with the consequences?  In that scenario don’t you AT LEAST deserve a full explanation, including your alternatives, of what is being proposed?  And shouldn’t you KNOW the risks involved?

This bailout of the financial industry is simply wrong.  Our economy is essentially strong.  And, just like your body is designed to absorb dead and dying cells and use them for good and eliminate any waste, so would a free market do with these failed institutions.  In fact, just look at the Washington Mutual and Wachovia situations.  Both banks assets were acquired without hurting anybody but their stockholders.  As a result of their failure, another bank will be able to expand and provide better service than what existing customers may have been able to expect from a struggling bank.

Do NOT be swayed by fear and panic.  As the old saying goes “Haste makes waste”.  Allow the free market to deal with this mess.  It really is the best way to get through this with the least harm to the most people.  And the next time someone tries to scare you into acting out of fear, simply tell them “NO!”

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2 Responses to “Panic, fear and the financial bailout. Just say “NO!””

  1. Melissa said

    Amen. I want to know why we aren’t reviewing these companies to figure out who screwed who over. I mean I’m sure someone already knows who screwed up, but I think the average American has the right to know that someone else will lose their job if they screw up besides those of us who work hard for little money. If I led the company I work for astray, they’d just can me, no extra money involved. In fact, they might make me pay for damages, not hand me a bunch of money to go away.

  2. Yes agreed. Who says the magic number is $700B? Why are Trump, Steve Wynn and other top business execs opposed to this bailout? I trust them to know business and finance more than Congress.

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