OldVet on the Fed, Congress, GW and Credit

This one is by OldVet…

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The famous reporter, critic, and free thinker H.L. Mencken used to write thundering tirades against the “booboisie” who ran the country, sometimes describing them as witless and uncultured. As I read the stuttering, almost incomprehensible mumblings of President Bush as he gave advice to the public on how to use credit, I thought of Mencken. Where are the sharp harpoons when the whales are spouting to starboard?

In the frantic race to appear benevolent that is being waged between Congress and the President, the President may be pulling ahead. First there was $75 billion bid by Sen. Clinton, then later $150 billion by another candidate, and now rumors fly that the President would not be averse to a fiscal spending spree of $250 billion. Why not a $ trillion?

And why isn’t Mr. Bernanke getting any praise for his massive Fed rate cut? Where’s the love? Maybe lower interest rates too complex for the public to grasp, the “lesser booboisie” we have educated to think credit cards were oars on their economic boats. Mr. Bernanke should get Gov. Huckabee to explain this stuff in his next sermon. He could start with, “Drunks don’t have to sober up unless the liquor runs out!” and go on from there to calm the masses.

For a nation riddled like Swiss cheese by its obstinate unwillingness to save, show restraint in spending, or raise its hand to preserve its own economy from its competition, we now have to face the facts. Only love can lead us higher. (Was that Marvin Gaye?)

I can just hear the talk over Courvoisier brandy tonight beside the fireplace in Davos’ snowy Swiss slopes. That’s where the financial movers and shakers of the Planet Earth go to decide how the world is going to work for another year. Bill, Dmitri, Arvind, Wei Li, and Paulo are getting their stories straight. During the week, you’ll be told that all that excess credit is feeding homeless children in Africa, and the losses in banks will have to be covered by taxpaying booboisie around the world. You will hear not a word about “overspending” or “loose lending” pass their lips.

About all you get will be equivalent to the tip they leave their room stewards. Look for that Treasury check in the Spring. But what heart can measure Love merely based on zeros?

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This one was by OldVet.