Thursday, November 13, 2008

me too!

When I was growing up, my mother got one point across to me early on in my childhood. Actions have consequences. My actions then were sometimes likely to end with me having a stinging, red behind. Now it seems like the actions of others are leaving me with a stinging, red behind.

I had a huge problem with our Federal government deciding how it's citizens should pick and choose winners and losers in the economy. Keep in mind that we didn't really have a say. All we needed was a President and his cronies (Paulson et al) to declare a crisis and demand "bi-partisan" action teaching me that I need to make sure that I have powerful friends when whatever business I'm in starts to hiccup because of poor business decision making.

The main misconception that most people have regarding the bailout is that it was caused by a lack of regulation. Untrue. It was actually caused by regulation. How? Regulations simply tell people what they cannot do. Then a bunch of lawyers and accountants get together and figure out what they can do that doesn't break those rules. They can get pretty creative as we've seen. So the answer is to ask them to be even more devious? No. The answer is to let them fail. That is the ultimate consequence of bad business practices. Yes, people will lose their jobs, an unfortunate side-effect. I doubt they'd stay unemployed for long if we stop overreacting. But it makes good copy on slow news days so I guess it's what we're stuck with.

And as even more reason to detest the bailout is that everyone is stepping up to the trough now. I mean everyone. Even Atlanta mayor Shirley Franklin. Never mind that she just asked for a quarter-million dollar paycheck. I'll ask for more money for myself while I also ask for all of my workers to take less by working fewer hours. "But it's all in the best interests of our city!" Yeah.

In better news, it looks like you can apply for your portion of the government bailout. Check this link. Happy paperwork filling-out!

1 comment:

C.M. Bailey said...

In my view, your post, and the thoughts on regulation it contains are dead on.

It's troubling to me when I think about how many people can't understand these concepts.