Just found in Laurent Haug’s blog, and see, how large the price-tag of the bailout really is. When something of this size is done, the question is, what does the society get back? The delay of an imminent breakdown? And an agonizing period in the coming years?
As shown above, with this amount of money, you can change the history. You can introduce a New Deal, and put the whole American economy on a steady growing track. You can introduce a Marshall Plan, and help Western Europe recover after a world war and be a strong business partner (and buyer of American goods), and military ally in the coming decades. You can save South Korea, and screw things up in South Vietnam. And you can reach the Moon.
What goal do we have with today’s bailouts? Putting the financial system on an accountable, sustainable, secure growing track? Really? What have we done as yet to secure all these? Fancying new government agencies? When the existing ones have failed so blatantly? Why do you believe, following the same old practices, hiring the same old companies would do it?
Forget about centralized solutions, freezing regulations. Re-engineer the scene, introduce the policy of radical openness, empower disruptive companies to rise and serve the clients better than the incumbent ones.
