Something needs to be done. Goal of GOP should be to make it as symbolic as possible, with no real teeth. Market just wants something that feels good right now. Something is going to pass, whether we like it or not. The House GOP managed to get it cut in half.
Thing is, no one really knows what happens if nothing passes. Another Great Depression is not what will happen, though a real recession might (as opposed to the fake “recession” of the early ‘90s, which was a moderate slowdown).
But if we elect Barack Obama, we will have a President who wants to enact the same policies that turned a recession into the Depression: higher taxes, more regulation, more national debt, higher tarriffs, more barriers to small business and investment.
If the credit markets seize and the MTM issue remains, how long before bank runs start?
bttt