If you didn’t think there was a wink and a nod relationship between large banks and the feds, the “Volcker Rule” should serve as an acknowledgment. Because lending and credit is so crucial to the economy, financial institutions know the government will backstop them during crisis mode in the industry.
bailout's archives
“Volcker Rule” Both Practical, and Admission
under: Deficits, Dollar, Federal Reserve, Game Theory, Individual v. Collective, Live and Learn, Obama Says, Taxes, Treasury, Trust
Tags: bailout, Barack Obama, financial crisis, financial sector, government safety net, Great Depression, moral hazard, Paul Volcker, Savings and Loan Crisis, Senate Finance Committee, Volcker Rule
Tim Geithner Discusses Bailouts and Government Intervention
Treasury Secretary Timothy Geithner discusses the burdens of his position, why he felt it was necessary to bailout the financial system and the paternal role taken by the federal government:
under: Deficits, Dollar, Federal Reserve, Game Theory, Individual v. Collective, Live and Learn, Taxes, Treasury, Trust
Tags: bailout, Barack Obama, Ben Bernanke, bubbles, credit default swaps, derivatives, George Bush, Henry Paulson, home loans, housing, stimulus, Timothy Geithner, toxic debt, Treasury, underemployment, unemployment
Fed Posts Record Profits
The question is, can the Fed take enough money out of the economy without sending us back into a severe recession, or will the excess money lead to high inflation. Personally, I’m predicting some pretty vicious stagflation is coming our way.
Nicolas Cage for Treasury Secretary
This summer, the IRS rewarded Nicolas Cage for his “efforts” with a $6 million tax lien on his New Orleans’ properties for unpaid taxes. So the IRS, lead by tax cheat Timothy Geithner, is cracking down on Nicolas Cage for unpaid taxes. How ironic. Or perhaps, “how fitting” would be a better way to put it. After all, I think Tim Geithner, our spend-happy congress, the Federal Reserve, George Bush and Barack Obama can give Nicolas Cage a run for his money (what little is left of it) when it comes to irresponsible spending. Honestly, look at what our government has been doing:
under: Complete Whimsy, Deficits, Dollar, Federal Reserve, Individual v. Collective, Live and Learn, Taxes, Treasury, Trust
Tags: AIG, bailout, Barack Obama, budget deficit, Cap-and-Trade, cash for clunkers, debt, Fannie Mae, Federal Reserve, Freddie Mac, George Bush, GM, government spending, healthcare reform, Lehman Brothers, Leonardo DiCaprio, Mike Tyson, Nicolas Cage, pork, stimulus package, TARP, Tim Geithner, unfunded liabilities
Swift Wits: Savers Get Stung, Pay Czar Tackles AIG and Real Estate Keeps Deflating
As of today, few things would be less appealing in your portfolio then dollars. As the Federal Reserve pours liquid-ity into the economy through TARP, stimulus and bailouts, and the Federal Government runs record deficits, interest rates stay artificially low. Depressingly low. In fact, a quick surf of Bankrate.com tells me the highest yielding money market account currently available (MMA) is 1.81%, while the average yield comes in at a whopping 1.113%. (1) That means if a person has $20,000 of hard earned money stuffed away in a MMA, he or she will earn roughly $30/month in taxed income. Nice.
under: Deficits, Dollar, Federal Reserve, Individual v. Collective, Live and Learn, Taxes, Treasury, Trust
Tags: AIG, bailout, Bretton Woods, Deficits, Dollar, Federal Reserve, interest rates, Kenneth Feinberg, money supply, paradox of thrift, real estate deflation, real estate tax credit, Saving, social security, stimulus, Treasury
Gold Bullion Touches Record High
Gold bullion futures touched a record high $1,045 in yesterday’s trading session in New York. If you believe in stock indexes breaking through resistance points, this may be just that for bullion.
under: Deficits, Dollar, Energy, Federal Reserve, Live and Learn, Taxes, Treasury, Trust
Tags: bailout, Ben Bernanke, bullion, crude oil, deficit spending, Dollar, Federal Reserve, fiscal policy, gold, hyperinflation, monetary policy, money supply, moon mission, stagflation, The Great Society, Treasury, Vietnam
Interview with Paul Samuelson
Last time, I talked about one of the titans of modern economics, Anna Schwartz, who was highly critical of both the Bush and Obama administrations in their handling of monetary policy. Recently, I caught a comprehensive interview with another such person, Paul Samuelson, of the famous Stolper-Samuelson theorem, which governs a great deal of the [...]
Swift Wits: Is the Recession Over? A 23 Trillion Dollar Bailout and 30-Year-Old Happy Meals
Not so fast there slick. Up and down swings are extremely common, recession or not. Bear market rallies were actually quite common in the Great Depression.
under: Deficits, Dollar, Federal Reserve, Treasury, Trust
Tags: Ariel Nelson, bailout, bear market rally, CNBC, debt, Dennis Kneale, Dow Jones, Federal Reserve, Happy Meals, McDonalds, Milton Friedman, recession, stagflation, unemployment
Swift Wits: Vacant Housing Starts, Auditing the Fed and Foreign Aid to, uhhh, China?
Widely hailed as good news, housing starts increased 17.2% in May to annual adjusted rate of 532,000. This certainly means the real estate market and thus the economy are heading back in the right direction. Not so fast there slick. Unfortunately, at the beginning of the 2009, according to Bloomberg, there were 19 million vacant houses in the United States!
under: Deficits, Dollar, Federal Reserve, Treasury
Tags: bailout, Barack Obama, Ben Bernanke, Bernie Sanders, censorship, China, Federal Reserve, foreign aid, George Bush, global warming, H.R. 1207, housing market, housing starts, Keynesian Economics, real estate, Ron Paul, S. 604, stimulus package, United States, vacant properties
CPAs Should Run the Feds
Social costs are not being reduced by the bailout, they’re being dispersed: to the taxpayer, to everyone who earns or saves the U.S. dollar and to unborn generations of Americans.
under: Deficits, Dollar, Energy, Federal Reserve, Individual v. Collective, Live and Learn, Taxes, Treasury, Trust
Tags: bailout, Barack Obama, budget deficit, Chrysler, credit, currency, debt, Dollar, Federal Reserve, General Motors, GM, money supply, social costs, Treasury, unemployment
Glossary
Twitter Updates

Motion Pictures
Sponsors
Tags
Categories
- Uncategorized (21)
- Federal Reserve (81)
- Obama Says (45)
- Deficits (90)
- Dollar (92)
- Site News (4)
- Live and Learn (122)
- Energy (18)
- Treasury (78)
- Game Theory (49)
- Individual v. Collective (87)
- Trust (117)
- Taxes (66)
- Dubiously Free Trade (12)
- Complete Whimsy (30)
Search
Sponsor
Archives
- March 2010 (9)
- February 2010 (8)
- January 2010 (8)
- December 2009 (12)
- November 2009 (12)
- October 2009 (9)
- September 2009 (14)
- August 2009 (23)
- July 2009 (20)
- June 2009 (19)
- May 2009 (12)
- April 2009 (10)
