The above should be the headline for what Paulson’s Gang hath wrought today. In order to get ahead of a banking crisis hurtling down the tracks, our government has been tied to the tracks in front of this out-of-control train. When the markets (and much of the country) wakes up from the one- or two-day market drunk this move generates, truly horrid realizations will come to the fore.
Here’s just one thing to keep in mind in the wake of this mad concoction put together by a panicked group of frightened little men: This year’s projected federal deficit, recently projected to rise to a monstrous $490 billion, will now rise by another half-trillion to two trillion dollars, depending on the actual size of the “toxic assets” the government is about to acquire.
If your own personal debt were doubled, tripled or quadrupled, how would that affect your personal credit? It works the same for governments. Something to think about while this latest machination of an expiring Administration plays itself out.