Fed Sez Economy in the SHITTER into 2009…

SONOFABUSH! Is anyone out there surprised that we can expect the economic disaster to continue? This from the new york times:

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Fed Concludes Economic Woes Likely to Spill Into 2009

Published: July 9, 2008

WASHINGTON — Federal policy makers have reached a consensus that the turmoil plaguing the housing and financial markets is likely to spill deep into 2009, becoming one of the most significant domestic problems to confront the next president when he steps into the Oval Office in January.

In a speech on Tuesday, Ben S. Bernanke, the chairman of the Federal Reserve, gave his strongest hint to date of an emerging consensus that problems will persist when he outlined a series of steps the Fed is considering taking in the coming months. One such step would extend into next year low-interest lending programs to Wall Street’s largest investment banks.

The programs, one of which was set to expire in September, can exist only if the Fed issues a finding that there are “unusual and exigent circumstances” that justify them.

Mr. Bernanke also recommended that Congress grant the Fed broader authority to monitor and supervise the financial markets to assure greater stability in the future. But with time running out on this session, lawmakers are unlikely to adopt such legislation before next year.

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WTF!? Take a guess who will be PAYING THE COST OF THE corpoRATe WELFARE PROGRAMS THE FED IS HANDING OUT? That’s right! YOU WILL!

The two parties of the apocalypse will scream bloody murder that single payer national health care is TOO EXPENSIVE, but when the time comes there is always pork barrel money ALREADY IN THE BUDGET FOR corpoRATe BAIL OUT PROGRAMS!

The syphilitic co-joined twins of the apocalypse, mcbama, will run around the country making speeches proclaiming they “feel the pain” of those of YOU who have lost or will lose YOUR HOMES, but will offer YOU NO RELIEF! Instead they will bail out the corpoRATeers whose filthy scheming and thieving CAUSED THIS MESS IN THE FIRST PLACE!

Support and vote for the only candidate for president who will cut corpoRATe welfare OUT OF OUR FEDERAL BUDGET!

VOTENADER.ORG

The Telepathic Crickets™ on the ClapSotronics editorial board and I wanna see YOU do better!

The scientifically impossible I do right away

The spiritually miraculous takes a bit longer

~ by ClapSo on July 15, 2008.

2 Responses to “Fed Sez Economy in the SHITTER into 2009…”

  1. The bonehead with the “Living Wage” sign fails to note that if you impose an arbitrary minimum wage, you don’t increase the value of the labor of people who earn less than that wage — you just render them unemployable, until the Socialist Federal Reserve has inflated the value out of the dollar, and the real wage falls.

  2. Rich,
    Welcome to my little slice of the internets! It is indeed a pleasure to meet you. I’ve read your blog and find it very entertaining. We share many things in common you and I. We both enjoy Science fiction and coding. We both live on the east coast. We both support a “third party” candidate for president. Your candidate, that refried repub burrito barr got 3% in the last national poll, which matches your blogs page rank of 3. My candidate got 6% in that same poll which matches my blogs page rank of 6! I could go on with this love fest all day, but that’s not what you came here for.

    I do so enjoy it when someone like you tries to use a one dimensional main stream economic analysis they pulled from some textbook or wiki. It makes my counter argument so much easier to make:

    There is nothing “arbitrary” about Naders plan to increase the minimum wage to 10$ an hour. There is both historical and present day reference as to why Naders plan is valid.

    First I would suggest you look into WHY the minimum wage was first instituted here in the USA. Pay special attention to the concept of monopsonistic competition should you decide to do your homework in an attempt to be better able to argue your point in future. In order to keep our first exchange short. I will leave my first counter argument point at that.

    Second, in the year you were born, 1968, the minimum wage had a real dollar value of 10$ an hour in today’s dollars. Put another way, the current federal minimum wage has about 60% of the buying power of the minimum wage of 1968, and I’m being generous with that 60% number. This is in fact is one of the historical arguments Nader uses for his planned increase. 10$ an hour would adjust the minimum wage to equal the 1968 level.

    In 1968 I was 10 years old. My father, who could not read or write and never finished 4th grade, was able to provide via the pay he received from his single 40 hour a week job enough money to not only buy the necessities like our family home which he owned, but also luxuries such as a second summer home. He was able to do so because he had not only the protection against the effects of monopsonistic competition via the minimum wage, but also an even stronger protection called UNION MEMBERSHIP. Both the minimum wage and unions DO IN FACT INCREASE THE VALUE OF THE LABOR OF PEOPLE! I know because MY family lived the America dream back then because if it!

    Present reference includes the twenty five to fifty CENTS an hour that workers in China receive due to the effect of monopsonistic competition. If you libertarians have your way and you maage to do away with minimum wage protections in this county, that’s what workers here will be making. THIS MEANS YOU!

    The laissez-faire free market capitalism you libertarians hold as a cultish act of faith has existed in this country. It existed at the turn of the 20th century. It was the CAUSE of the great depression! In fact in our present day, the laissez-faire free market capitalism you foolishly believe you want has been used to bring about DEREGULATION. That has given us:

    The savings and loan fiasco of the 1980’s

    Enron

    Worldcom

    The subprime mortgage disaster

    Runs on banks both at the turn of the century and present day

    Boom and bust cycles such as the crash of 1929 and what is shaping up to be just as bad if not worse on present day wall street

    As to your one good insight, that being Socialist action by the Fed, I hope you will read my blog post just above this one titled “Passing the BUCK and Picking YOUR Pocket!” I refer to the fed actions as lemon socialism and give my definition of that term.

    I think I’ve gone on far too long with this. I could however do 10,000 words on this subject and still not say everything.

    Thank you so much for your comment and I hope to hear more from you here in future.

    The scientifically impossible I do right away
    The spiritually miraculous takes a bit longer

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