Friday, April 23, 2010

Quote of the Day: "About Twelve" ( #FinReg )

If you only read one article today, read Jon Ward's column in the Daily Caller entitled, "Financial reform’s complexity allows truth to stay hidden behind rhetoric":

One senior House staffer, asked to estimate the number of people on Capitol Hill who fully understand the legislation, paused, and then replied, “About twelve.”

“If you’re talking about the full scope of the thing, maybe less,” he said. “The vast majority of it is anticipating events you can’t predict.”

That's probably a generous estimate.

The greatest example of rhetoric clouding the truth is the Too-Big-To-Fail/Permanent Bailout concept.  Obama should fear Zeus' thunderbolt for the egregious lies he's telling about permanent bailouts.

Obama [emphasis added]:
Now, there’s a legitimate debate taking place about how best to ensure taxpayers are held harmless in this process.  And that’s a legitimate debate, and I encourage that debate.  But what’s not legitimate is to suggest that somehow the legislation being proposed is going to encourage future taxpayer bailouts, as some have claimed.  That makes for a good sound bite, but it’s not factually accurate.  It is not true.  In fact, the system as it stands -- the system as it stands is what led to a series of massive, costly taxpayer bailouts.  And it’s only with reform that we can avoid a similar outcome in the future.  In other words, a vote for reform is a vote to put a stop to taxpayer-funded bailouts.  That’s the truth.  End of story.  And nobody should be fooled in this debate.

What a tremendous whopper!

Because, actually, the bill does give unlimited bailout authority to the government, to be exercised in an arbitrary and unpredictable manner -- and for any systemically important company, not just financial firms.

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