Quote:
Originally Posted by daepp
"The Sky's Not Falling
By John Stossel
Some investment banks and brokerage houses are sitting on shaky mortgage-backed securities. But why call that a "crisis"?
Do we have 25 percent unemployment, as we did during the Depression? Do we even have 7.5 percent unemployment, 12 percent inflation and 20 percent interest rates, as we did during Jimmy Carter's presidency?
There's a been a loss of jobs in the past two months, but that comes after years of strong job creation -- 25 million net jobs in the last 15 years . At 5.1 percent, unemployment is low by historical standards.
And are we really experiencing a mortgage-default "crisis"? No.
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If the government hadn't bailed out Bear Stearns in March of this year, the "domino" effect through the financial markets would have us in the middle of a "great depression" right now.
Of course, the government hasn't done any magic -- they cannot stop the "house cleaning" the market demands -- but they have shifted the nature of the collapse.
Rather than allowing those who made the mess in the financial markets, fail and suffer the consequences for their actions, the Federal Reserve is making the "widows and orphans" in our economy pay for the failure -- particularly those who have tried to live conservatively and save and invest carefully.
The new money the Fed has pumped into the system to bail out their Wall Street buddies is now resulting in the rising prices for the goods and services people buy -- the purchasing power of those with saved dollars is diminishing.
Of course, the government has gone so far to try to conceal this "theft through inflation" by actually
lying with the CPI numbers.
Who here saw their fuel prices
decrease by 2% in April?
That's what the government is telling people they've experienced in the economy!