Sunday, September 21, 2008

Sounds Familiar?

Hank Paulson making rounds of Sunday TV Talk shows to sale his rescue plan on behalf of Bush Administration while Law makers - both Dem and GOP - not showing any spine; does it sound familiar? It reminds one how years back Rumsfeld, Rice and the Gang made rounds of TV talk shows to sale ‘Saddam’s mushroom clouds’ before embarking on the Iraq war. We all know what happened then. Most law makers failed the test of leadership then and things do not seem encouraging now. Looks like these guys and gals will give that ‘blank check’ to Hank Paulson.

How much arrogance Hank Paulson show when he demands ‘clean bill’ from Congress? Why? Is it not responsibility of Congress to cater to needs of common folks when trillions are given to banks? For God’s sake, these law makers are elected representatives whereas Paulson is there to ‘carry waters’ for Bush; howsoever brilliant he may be.

Here is the thing: Paul Krugman was one of the few folks who called the bluff in regards to Iraq war and he is sounding alarmists about the proposed bail out. (http://krugman.blogs.nytimes.com/ ) Why is Congress not asking Paul Krugman to negotiate the deal with Paulson’s Treasury Department? He has been co-worker to Ben Bernanke; not so stranger. So the criteria should be ‘no deal’ until Krugman’s doubts are answered.

There are two more folks / critics who need to be on-board in this respect – one is Prof. Robert Shiller who is Economics professor at Yale (the Shiller Home Index fame, the S&P index about home prices, http://en.wikipedia.org/wiki/Robert_Shiller ). He has been one of few folks who were able to call ‘the top’ and impeding down turn in home prices correctly.

Finally, the last one is Prof. Nouriel Roubini (http://en.wikipedia.org/wiki/Nouriel_Roubini , http://www.rgemonitor.com/ ), the godfather of modern day doomsday prognostic. He has been pounding the table for coming Armageddon ever since ridiculing him was the stepping stone to any serious economic punditry. But alas, it seems he is turning out to be more correct than many other guys who were too flamboyant and politically correct.

As they say, more things look different, they remain same. America is simply circling wagons here.

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