“In the Future”. . .

Three little words, in paragraph 8 of “Obama puts string on bailout bid” in today’s Daily Oklahoman, “tell all.”  AFTER the crooks, thugs, and thieves of Wall Street have fled, NOW we slam the door shut.

It is the current talk of the media.  “Strict limits on executive compensation,” sing the headlines.  But as always, the devil is in the details.  These particular details are simple.  The executive pay limits DO NOT apply to any of the thug corporations that have already received hundreds of billions of dollars in taxpayer loot.  The $20 billion or so paid out last year by thug corporations from taxpayer’s money WILL NOT be repaid.  The limits only apply to corporations who, late to the game, apply henceforth for taxpayer loot.

So AIG can continue its fine round of high-rolling parties for its executives.  Bank of America can continue to panel the bathrooms of its executives with rare and expensive woods.  All those who have profited illicitly from the financial bailout get to keep the money.

We the taxpayers remain on the hook for the tab.

Meanwhile, comes news that the goobermint is considering suspending “mark to market” rules for banks.  This simply means that bank ‘assets” have to be valued at their actual market value, not at what the bank wishes they were worth.  This is a critical issue of financial transparency.  For some reason, the thinking is that if we don’t have to report the bad news — if we can just hide the bad news — then everything will be fine. 

Somebody ask a few cancer patients how this would work for them.

It will be about as useful for the financial markets.

If anyone needed more evidence of the delusionary thinking in Washington, this would be it.


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