Why did the Guvmint kick the can? Panic? The more apt question is, Why is the Guvmint _still_ kicking the can? My view, stated previously in these illustrious pixels, is that Bernanke, Summers, Geither, Emanuel, Rubin, et. al. are delusional. They don’t think we had a crash but a panic. They are convinced that ‘values’ aren’t reflected in current ‘prices,’ and that the latter will bounce back as soon as ’stability’ returns. And at that point, the Guvmint won’t have to take the toxic waste from the oligarchs because the plutonium will be magically morphed back into gold. Nobody has told these well-placed, egocentric mooks that the ASBs were ALWAYS plutonioum, just with a little gold paint splotched on them by JPM and GS and Merrill or just with straw pasted on by Countrifried and Indyfai and WhoKnu. These sub-geniuses in halls of power didn’t bother to read the instuctions on the Japanese model kit for Bolstering Bailous they’ve assembled upon our amber waves of grain. Those instructions read, “Squeeze hard so that the pieces hold together until the Old Reality Glue sets, time to cure on the order of ten myriads.” I.e. shortly after Hell freezes over first: twenty years and counting and the Japnese Model hasn’t produced any recovery for their real economy.Richard Kline in the comments at Yves Smith, and H/T DeLong.
Wadda y’all think will happen first?: The Guvmint keep kickin’ the can down the road to Eternity, the Oligarchs elect a better weasel (for them) to shift the load, or the light of day in the courtroom bring the whole evil farce to a contumacious eruction
Tuesday, February 09, 2010
And the Award for Best Use of the Phrase
"Contumacious Eruction" Goes To...