On the Health of the Economy - and Public Office

By Tim "Timothy" Fitzgerald

'Money is the Mother's Milk of Politics':Assembly Speaker Jess Unruh (AND ALSO OF THE ECONOMY)

by Tim K. Fitzgerald

It would be unfair, and inappropriate, if with two degrees in Economics and related matters, that I commented only on the immediate election, and ignored the major shift in the economy and impact on us as a major force in the International community.

When 'Fannie Mae' and 'Freddie Mac' sought a 'bail out' time was overdue for the 'small players' like me and you, to get out of the market, and Let the major houses on Wall Street settle their accounts. That said, I would imagine many of those with pension funds, IRAs and 401k investments to want to shake off the pending loss, and hope for the best. However, candidly I tell you the 'best' had already seen its day, and the pending loss was now seeking a day of reckoning.

The only question now is, with central banks in the G7 scrambling, how far down will the market on Wall Street go before it finds a 'bottom. For those who did get out, a side issue remains whose brand of economic theory is being applied to correct the imbalance...Keynesian' Theory, or the Supply Sider's and Monetary Theorist who have insisted they hold the key to stability.

I would bet my shirt on Keynes, as he set up the international economy coming out of World War II, and revived Western Capitalism by avoiding another Depression like that that followed WW I. The opposite dominated the Savings and Loan bail out in the 1980s and put a lid on the Reagan Recession of 1983. Has anyone heard where they are now? Or have Credit Unions replaced Savings and Loans in the market place of high finance.

I need not remind the reader, that step by step, the Republican party has replaced the Stop gap measures placed in the Market economy with 'de-regulation' that will no doubt cause de-valuation in money supply until it is rung out of the economic 'bubble' ...Noting George Bush did nothing to forestall this crisis, but spend over a trillion dollars in current and future indebtedness to escape the market malfunctions of 2001. The system working in very simple terms that if you put a dollar in, it remains there until you pull a dollar out - measured in goods and services.

Two wars simultaneously overseas are not what I mean by 'goods and services' and we have never had to burn off a trillion dollars in deficit spending before. So we all may be in for a massive correction down the road - in spite of the 'Bail Out's that are going down today (Mid October 2008). Anyone want to take this up, I have a blog for that purpose on by home WEB that is linked to this site. I am that confident about my sources and ideas about the present (lets not understate it) ...collapse...of the present economy.