Thoughts on Bailout’s, QE2, & The Banking Crisis

It’s long been argued that the best way to cure a hangover is to have another drink when you wake up, but as the world economy sways and wobbles its way out of bed after a few too many drinks the decade before, we are being bluntly reminded that having a few more drinks leads to a very similar state that caused the headache in the first place.

Does it provide temporary relief? Yes. Does it solve the problem? No.

The influx of 600 BILLION dollars by the fed is trying to remedy a hurting economy not by drinking coffee and staying sober, but by doubling down its irresponsibility and foolish indiscretions. Eventually the US will have to come to terms with their greedy overspending ways, and when it does, the American people will have to pay a price much greater than that of the “Great Recession.”

The US will have to continue to spend a growing percentage of its annual revenue paying for the debt of years passed, and each generation keeps hoping that they can continue the charade long enough until they are happily resting 6 feet under.

I will throw caution into the wind and make a dour prediction, if the US does not tackle its annual deficit, and pay off its national debt, the next time we have a financial crisis (which we are guaranteed) the federal government will not have the clout to take such liberties with worldwide monetary policy, and that generation will be stuck holding the bag.

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