Monday, September 22, 2008
Don't reward the scoundrels
William Greider, whom I've always considered to be one of our smartest, and best-informed political writers, has some legitimate criticism of the bailouts of financial instituions, and the terms of those bailouts.
As Greider suggests, the action of the government is necessary, but it should be accompanied by broad-ranging regulation, stiff penalties, future paybacks, protection against market manipulation, and help for the homeowner.
There are those on Wall Street who see the bailout as a huge opportunity. It's corporate socialism as practiced by the rich, the conservative and the Republicans.
And Greider is not the only one who feels the bailout will not work without strict regulation, and specific stipulations against profit taking. In the New York Times, oppositional editorial writers William Kristol and Paul Krugman don't think much of the offer. And Joshua Holland explains how the bailout privatizes gains while socializing losses.