How Would President Palin Handle This?

Keep laughing EU----They have the same disease we do while piously telling everyone that they don't do anything with credit. But---there is no central bank, nothing like the Fed, to launch monetary policy quickly. Right now the Germans, always feeling themselves superior to everyone, are blocking unified action.

How about us?? Foreigners have $800bln on deposit in US banks almost all uninsured that could shift as early as tomorrow morning. Unless there is unlimited FDIC insurance. Oh, and where would they put their precious EuroBucks? The European banks have been managed very badly too, and all in secret. Their leverage is close to 35 to 1; our banks are below 20-1. Our wonderful government used to demand a top limit of 12 to one, but that went the way of bribes.

The largest European banks have become not only too big to fail, but also too big to be saved. For example, the total liabilities of Deutsche Bank (leverage ratio over 50!) amount to about €2,000bn (more than Fannie Mae) or more than 80 per cent of the gross domestic product of Germany. This is simply too much for the Bundesbank or even the German state.

Liabilities are equal to 80% of the entire GDP of the country. How can that be? Ask all the hustlers, phone salesmen, and the media people who they bribed. This is getting serious.

At the real core of our problem is collapsing home prices. A floor absolutely must be put under them. And, like it or not, huge government outlays on infrastructure must take place now. Workers will only pay off debt until actual wages are coming in the door. Socialist? Yeah. Tell me again how free markets that have never been free will help. What we have is a system so corrupted by commission hustlers that only junking it will work. Every over- valued piece of shit in our system is a useless product with no discoverable price (value) introduced by the stock broker complex or investment bankers for the sole purpose of generating high commissions.

I'd like to know how President Palin would handle this. How about President Obama or President McCain. The response is deafening.

1 comment:

Xiaoding said...


They WILL come down, get used to it!