That Didn't Take Long

You may recall that during the recent uproar over the $700 billion bailout that grew to $850 billion before it finally passed the Congress and was quickly signed into law by our Sultan, George W., at the behest of his Grand Vizier, Hank Paulson, the Congress also passed a $25 billion loan package for the "Big 3" US automakers to "retool" for the future--a future they are not likely to enjoy considering that all three are bleeding cash at unimaginably high rates and recording colossal losses. $25 billion corporate welfare checks just don't go very far these days, so they're back for more--$50 billion at last count! Presumably our new Sultan-to-be will graciously bestow his favor upon these deserving subjects; for as my lord Obama instructed the nation yesterday, "The automobile industry is the backbone of American manufacturing." He urged Sultan George W. to find some accommodation for the automakers since how could the nation survive if it lost its backbone? Dare I say that politicians thrive without backbones? Well, yes, but that's a matter for experts in invertebrate biology, not economics. So now in the new world of freebie finance--"a bailout for me, for you, for everybody!"--the not-so-big-3 will get lots more money coming in one end so they can bleed it out the other end. Where our insolvent government will get the bailout cash is anybody's guess.

And it is about time, too!

In his press conference today, Mr. Obama said the following:

"Immediately after I become president I’m going to confront this economic crisis head-on by taking all necessary steps to ease the credit crisis, help hardworking families, and restore growth and prosperity."

Don't we all feel reassured now? Mr. Obama knows all the "necessary steps," and he'll get cracking right after taking the oath of office in January. Our Blessed Redeemer knows how to "restore growth and prosperity." He'll just saunter on down to the growth and prosperity store and get some for us. Why didn't we think of that? What have we got to worry about now? Everybody now sing, "Happy Days are here again/The skies above are clear again/So let's sing a song of cheer again/Happy Day are here again!"

The Pruitt Chronicles (Episode 1)

When I was small I used to watch a sitcom called “The Pruitts of Southampton” starring Phyllis Diller as a bankrupt socialite who tries to keep up the appearance of affluence despite being broke. I contend that America today is a giant, real life version of this comedy, but nobody’s laughing this time. This post is the first of no doubt many installments of what I am calling “The Pruitt Chronicles,” the saga of life in America gone bust.

Let’s start with California. The deepening recession/depression is playing havoc with state finances. The state’s budget deficit is now $11.2 billion dollars and counting. What does Governor Schwarzenegger propose to do? To begin with, he wants $4.5 billion in various cuts. OK, so far so good, but what about the $6.7 billion you still want to spend, Arnold? Where are you going to get it? A bright idea occurs to the governor: since we want to spend more money, we must raise taxes! Problem solved. Yes, indeed, the governor wants to raise $4.4 billion in new taxes so California can keep up the appearance of affluence even though California taxpayers will be going broke in the recession. And still that wizard of finance is $2.3 billion short! Where will that money come from? Borrowing? Begging? MasterCard? Renting rooms in the governor’s mansion? Says the governor: other “revenue generators.” Oh, I get it, counterfeiting.

Needless to say, the not-a-dime-in-new-taxes crowd is armed and ready to do battle with the equally well armed not-a-dime-in-new-cuts crowd. They will fight it out in a special session of the legislature. I imagine that the legislators will jigger a fix that fools nobody and fixes nothing but buys a bit of time until festering financial problems force them to jigger yet another fix. The eventual winner will be the Specter of Insolvency. But for a while longer, Californians can pretend that they are still affluent and that the person knocking on the front door isn’t the repo man or the sheriff with an eviction notice.

And isn’t playing make-believe what life in these United States is all about now? That’s a right guaranteed somewhere in the Constitution, isn’t it?

Hello, world!

This is my first blog entry--just a quickie trial to see how things look...

And I just took a gander, and it looks pretty good to me! So now I join the countless hordes emitting obiter dicta all day long. Maybe money, money, money makes the world go around, but opinion, opinion, opinion makes the internet twirl on its toes--so let's start twirling!