On Wednesday, October 1, 2008 at 13:32:07 (-0400) Shane Mage writes:
>
>On Oct 1, 2008, at 11:57 AM, Doug Henwood wrote:
>
>>
>> On Oct 1, 2008, at 11:45 AM, Jim Devine quoted Dean Baker:
>>
>>> The weakness of the banks contributes to the downturn, but they are
>>> not the core of the problem. We would still be facing a recession  
>>> even
>>> if all our banks were flush with cash. Hence the hype about the
>>> urgency of the bailout was an invention.
>>
>> This really gives me pause. The financial system is imploding, and  
>> is in desperate need of recapitalization. One of the things that  
>> turns a recession into a depression is a cascading wave of bank  
>> failures and a contraction of credit. (This is something that  
>> Bernanke knows a lot about.) Intervention has to be quick or it will  
>> be too late.
>
>How odd that Doug Henwood parrots the Bush-Bernanke-Paulson-Obama  
>hysteria about how a huge giveaway to finance capital is needed to  
>avert a "depression"--when a depression is inevitable, and will be  
>much worse (maybe a little later) as a result of this vast  
>inflationary credit expansion.

How does this insult show Doug is wrong?  Even the criminal idiots who
are running our country are right some of the time.


Bill
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