Yes or No?
I’m more confused now than ever. Do I call my representative and tell her to vote for or against the proposed bailout?
Warren Buffett says yes. Paul Krugman basically agrees and grudgingly says it needs to be passed. Nouriel Roubini, whom I’ve seen on The Charlie Rose Show, says no. And then there’s Michael Moore, who sent me an email this morning urging protests, etc. over the bailout. I wouldn’t call Moore a financial expert but he’s mad as hell over how the Wall Street fat cats have stuck it to the little guy and apparently are now coming in for the kill.
No one is able to say with much confidence that this plan will work. Equally disturbing is what might occur if no action is taken. As I write this post the Dow is down about 290 points, so investors aren’t feeling the love this morning either.
It’s very easy to sit here and say we absolutely should not give Wall Street this money. They broke it, they own it. It’s also easy to fall prey to fear and agree with the Chicken Littles who are claiming the sky is falling, the sky is falling.
My guess is that the answer falls somewhere between the two extremes. Is that the plan Congress is currently considering?
Who knows. I think I’ll go bury my head in the sand for a couple of days.
At least Mr. gyma and I are out of the market and our money is safely deposited in one of the newly failed banks. I feel better already.