Haven’t been following up on my blog much lately due to school work and archery competitions. Thankfully, mid-term tests are coming to an end an one major competition is over.
Finally got some free time to look at what’s been going on in the world around me lately after Obama became the US President. First, there was the huge economic stimulus bill that was passed in a seemingly hurried fashion. The Republicans didn’t have a chance to look through the 1000 page bill in time, and the overwhelming democrat majority in both houses got the bill through. Interestingly, they got a couple of the Republican senators to vote for the bill as well ensuring that it was filibuster proof. Any results from the bill is unlikely to show until quite some time though, but hey, at least the feds are busy printing money; not necessarily a good thing.
Second, AIG posted up its fourth quarter loss of some 61 billion, and the taxpayers are expected to hand them another 30 billion. Will this strategy of constantly handing out money to failing banks work? If it does, what results has been shown so far? It seems that the hand outs will continue and the federal reserve will get to continue creating more money to hand out to these banks. In the long run, I guess inflation and devaluation is to be expected.
Third, Clinton’s round the world tour, Obama’s engagement with Europe and UK, and a step back from the missile shield hoping Russia will help keep Iran in check. This seems to be the only action that Obama has a direct hand in so far; engaging the international community, and re-building much squandered trust in the United States. One of the top agendas is his “Global New Deal”, echoing Roosevelts economic stimulus plans in the 1933. In this Global New Deal, the world’s banking systems would be ‘cleaned up’ and in Gordon Brown’s opinion, introduction of a global regulatory framework.
Obama has seemed to have adopted an internation approach towards this global credit crisis. It is important to restore confidence in the United States as a strong and stable economic powerhouse. And its precisely this abstract concept of “confidence” that spins the financial globe. Until this new global new deal can take effect, it seems that he’s content to hand out as much money as possible to keep major financial institutions alive until the light at the end of the tunnel can be seen. Obama is a strong orator, who has inspired much of America to gain access to the office of presidency. But will his speaking abilities convince world leaders of the necessary measures to agree and implement the global new deal to save the world?
Anthony, Just a couple of points from my point of view.
* It wasn’t just the republicans that didn’t read the bill, no of them did. Why the urgency? Because it was all showmenship to give the illusion that congress is actually doing something. What they managed to do is print an un-Godly amount of money that will lead to massive inflation.
* The “global new deal” in my opinion is nothing but a way to raise global taxes and a massive redistribution of wealth. Already the call is out for a global currency as well as carbon taxes.
* Meanwhile several bills have been started in congress that will limit the second amendment, create a national service Corp, and taxing the buisness owners and middle class. Sadly the state has been encroaching on the average rights of citizens since the end of WWII and the push for a truly global society is rapidly gaining.
Ironically, the ones pushing so hard for this brave new world are the ones that have created this mess in the first place and the ones who contributed hundreds of thousands of dollars to both parties, that are basicly the same in the U.S… The bankers. Luckily they’ve been given a TRILLION dollars for their pain and suffering.
Nice blog. Aggresors!
By: Dave on March 20, 2009
at 1:39 pm
Heya! Great to see another Aggressor on the blog!
Great insight there. Its also interesting to note the charts for the amount of money printed, inflation, and debt all correspond to the same flow pattern. That much has been said about the strategy of printing money.
Don’t mean to be a doomsayer, but the last couple of times a massive financial crises happened like this, the world went to war. Let’s hope we get to prove the Realist wrong, that the world isn’t the same old thing over and over again.
As for the Global Society trend, an interesting theory by Manual Castells, if I recall correctly, suggests that Globalization is part of the greater rise of network society. We live in interesting times my friend!
Cheers!
By: Shotgun on March 24, 2009
at 4:50 am