Views on the Bailout: Part 2

So here is a completely opposing view from Ron Paul, of Internet fame. This might surprise you, but he believes government intervention in the economy is a bad idea. Shocking right?

Here's an interesting tidbit:
Laws passed by Congress such as the Community Reinvestment Act required banks to make loans to previously underserved segments of their communities, thus forcing banks to lend to people who normally would be rejected as bad credit risks.

This is a pretty classic conservative/libertarian/ federalist viewpoint. Well-intentioned(?) Senators in Washington pass legislation that warps the market and has unintended effects. There might be something there, but it would require a pretty massive study. Paul doesn't come close to making a real argument for that, but then it's just a piece on CNN, not really the place for Paul to get all Austrian on us.

I still think that Ron Paul may end up being the most influential candidate of this cycle... eventually.

Views on the Bailout: Part 1

Just to get it out of the way, I know pretty much nothing about the proposed bailout. I've read about it in the newspaper and heard people talking about it online, but my understanding of what's really going on is as superficial as Paris Hilton. But of course this is America and mere ignorance will not stop me from voicing my opinions, or, more accurately, repeating the opinions of smarter people.

The first opinion piece that I enjoyed is from the Times (London, not NY). It essentially argues that free-market concern about the bailout is misplaced. It's a well-written piece by someone who knows vastly more about the whole mess than I do and it is full of very British humour:

As Charles Goodhart said in the FT this week, the time to worry about moral hazard is in the boom. Worrying about moral hazard now is like “refusing to sell fire insurance just after the Great Fire of London for fear of adversely affecting future behaviour”.

I can't help but wonder, though, if it does not unfairly simplify some of the concerns that people have about the bailout. Moral hazard is surely one of the boogymen that has been invoked, but I suspect their are other legitimate worries. In any case, it is worth reading and will make for good conversation over the proverbial dinner table or water cooler.

Ghost-Writing For McCain

Salon has an interesting feature today, written by Margriet Oostveen who writes a weekly column called "Message From Washington" for the Dutch newspaper NRC Handelsblad. Oostveen has volunteered in various political campaigns and then written about the experience, and in today's feature article on Salon she documents her experience writing fictional letters to the editor that will eventually be circulated to McCain supporters as possible letters for them to sign and have sent into their local newspaper.

I have no idea how common this practice is, or if I'm even all that worried about the act itself, but I do think her story is an interesting one, fun to be along for the ride. Meanwhile, if you're curious about more details on her task, you can read up on sample letters and guidelines the campaign gave her.

Email Hacking!

Obama's email hacked by the Onion! (click image to see more):



Hat tip to Purple State.