Timothy Geithner, our new tax-dodging Secretary of the Treasury, addressed the Keepers of Wall Street about what the Fed'ral Gubmint intends to do about our fiscal nightmare. They almost puked. The market fell 400 points almost as soon as he began speaking.
Prior to this meeting, Geithner tried to explain what the Obambi Administration planned to do about our fiscal nightmare to the collection of idiots called Congress. And Congress laughed him out of the room.
It's difficult to take this man seriously, apparently. The people who know money seem to think he's woefully unprepared (yet we were told that this was exactly the man for the job, since he'd been at the epicenter of the failed TARP program, and understood all aspects of the financial system's collapse), and if he's not unprepared, then he's crazy. He has, in effect, asked businessmen who have already been burned by doing what the government told them to do (i.e. make bad loans to people who had the worse credit ratings than Upper Volta), and who are now scared absolutely shitless about spending a penny that can't be either funnelled into their own pockets, spent for their own amusement, or used to shore up a sagging stock price, to pony up and eat bad investments that he swears he will insure. He doesn't exactly say 'eat', he basically says 'I encourage you to buy the bad assets already on your books as an investment'.
He does not indicate where the money will come from, but it'll be insured. He doesn't know exactly how the plan is supposed to work, just that it'll be a really-spiffy 'public-private venture', but it will work. He can't tell you, not just this minute, how bad assets will be priced, but somehow, it'll be attractive enough to make it a worthwhile investment, even in this recession.
Congress simply brushed him off. Like he was a six-year old in Daddy's suit, playing CPA.
When you can't get desperate money-managers who need an out, and even-more-desperate Congresscritters who need to be seen as 'doing somthing' for the sake of avoiding the question of 'what are you doing?', to take you seriously, you must be some sort of loser.
Yes, this will all magically work, because a man who can't file his taxes properly, either through criminal activity or stupidity, can be trusted to come up with a cracker of a plan. Yep, all makes sense.
HopeChangeWeCanBelieveIn. See you all on the bread line.
The Wall Street Journal chimes in.