Light Dollars and No Sense

The Fed now owns it all--in less than 100 years

2008-09-22T10:12:00.000-07:00

All Longs, No Shorts at the Casino

2008-09-19T06:50:00.003-07:00

Today was a dramatic step in the economic world. Surprise, the casino called a stock market rallied another 380 or so points as a result of no one being able to short stock. It certainly could not have been a rally celebrating the taxpayer bailout of mortgages that have no FMV in the real world or a new guarantee for trillions of money market funds. God bless America and the Federal Reserve Bank for creating yet another multi-trillion contingent liability for the future during the first day of this new blog.

The US is going bankrupt

2008-09-19T06:50:00.002-07:00

During the past few months, taxpayers received a rebate check totaling $150 billion, the US Government has assumed responsibility for nearly all of the mortgage debts in the US, and socialized Fannie Mae, Freddie Mac and AIG. All of this on the back of $10 trillion in existing national debt and projected $500 billion deficits. We also can't wait to pick more international fights, causing even more expenses and debt. In short, we are witnessing spending and borrowing at the speed of light. Why does this matter? Why should anyone care? Because all of this debt requires taxpayers to pay interest on the debt, causes inflation and devalues our currency. More importantly, it requires more borrowing for all government programs, most of which simply do not work anyway. I apologize in advance to future generations of Americans. The reason I created this blog is a journey of redemption by helping current and future generations understand how we are headed to financial armageddon. I welcome interesting financial facts, political observations and personal venting needed to wake America up before it's too late.