So yeah, I don’t have a lot to say about Fannie and Freddie possibly being bankrupt and everyone running around screaming "the sky is falling! The sky is falling!" Why? Because we knew, oh about 4 years ago, in 2004, that the two companies were probably technically insolvent and we knew, then, that the fact could be concealed by BS until the housing bubble collapsed (which we were also talking about 4 years ago.)

This is the way disaster works in the modern day. Some DFH says "perhaps a land war in Asia against a country that has never attacked the US and presents no threat might work out badly." Responsible people reply "You Damn Fucking Hippies. You were right about Vietnam and we’ve never, ever forgiven you. So we’re going to cut off our nose just to spite your face."

Or perhaps "Maybe if we have huge tax cuts for the rich and a 150 billion dollar war that will cause large deficits."

Or possibly "Perhaps tax cuts mean less tax revenues, not more?"

Or "Invading Iraq may cause the price of oil to rise because it’s very easy for guerillas to disrupt oil supplies."

Or "Repealing Glass-Steagall might be a bad idea". (Oh wait, Dems did this. Well both parties have "serious" people).

Or "Perhaps letting banks buy credit insurance just displaces the risk rather than covering it?"

Or "If you put interest rates to generational lows and leave them there, it might cause a housing bubble."

Or "Perhaps giving people loans they can’t afford and not checking their credit is a bad idea and might make the housing bubble worse?"

Or (2002)"Given that we’re probably on the wrong side of peak oil, perhaps the major car companies should be retooling for fuel efficient cars back in 2002 or so, and if they don’t, perhaps when oil prices go up they’ll finish going bankrupt?"

Or "Did your mothers drop all of you on your heads, then decide that wasn’t enough and give you a roundhouse kick so hard it created a perfect and permanent cranial-rectal inversion?"

Ian Welsh

Ian Welsh

Ian Welsh was the Managing Editor of FireDogLake and the Agonist. His work has also appeared at Huffington Post, Alternet, and Truthout, as well as the now defunct Blogging of the President (BOPNews). In Canada his work has appeared in Pogge.ca and BlogsCanada. He is also a social media strategy consultant and currently lives in Toronto.

His homeblog is at http://www.ianwelsh.net/

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