On the 17th, I posted a diary about the Treasury's Troubled Asset-Based Loan Facility (TALF) asking the question: , "Isn't the way they're structuring this just a repetition of the same practices that got us into this whole mess to begin with?
Krugman's blog post entitled "Despair over financial policy" answers my question and Krugman does indeed sound in despair. He observes:
"The Obama administration is now completely wedded to the idea that there’s nothing fundamentally wrong with the financial system — that what we’re facing is the equivalent of a run on an essentially sound bank. As Tim Duy put it, there are no bad assets, only misunderstood assets. And if we get investors to understand that toxic waste is really, truly worth much more than anyone is willing to pay for it, all our problems will be solved." http://krugman.blogs.nytimes.com/...
Kossacks have echoed these concerns in numerous postings and comments. Does anyone have constructive ideas on how to get the ear of the Administration? I confess I don't, but wiser heads than mine are blogging here.
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