The bailout fails, stocks plunge and everyone panics. That was today. This evening, let's play the blame game. Democrats blame Republicans. Republicans blame Democrats. Obama blames McCain. McCain blames Obama. And round and round we go until everyone pays the price.
Honestly, I'm not crying because this bailout failed. Sure, my 401K is taking a hit...but it can't go down too much further. Nothing from nothing is nothing. As I have said before, the American taxpayers shouldn't be burdened for the failures of major corporations. Yes, everyone suffers when banks fail but pushing through a half-hearted, semi-debated and rushed bailout plan seems to be the wrong path.
Of course I do believe the government should do something to prevent another Great Depression. And if that means pumping some money into the private market, so be it. But to hand out $700 billion dollars seems a bit hasty. The government giving away money just further undermines the dollar which means inflation will rise again, possibly at record paces. And with the economy grinding to a halt, we are just a bailout away from stagflation.
Honestly, I don't believe we have the brains in Washington to develop a plan that will spur growth, control inflation and restore faith in the market. And whatever the next administration is going to bring can't be much better. It's going to be a long road ahead for the American taxpayers. I just hope they're paying attention and prepared.