Not surprisingly, the New York Times has heartily endorsed Ben Bernanke’s latest “bold” move, but cautions that inflation might not be enough to save us:
The Federal Reserve’s recent moves to revive the economy are aggressive and, given the deteriorating economy, warranted. But the risks involved must be acknowledged. And more must be done.
This crisis is unlikely to turn around until President Obama and his aides come up with a plan for failing banks that does not arbitrarily reject the idea of nationalization. They must also follow through on their housing plan to reverse the tide of unnecessary foreclosures.
One does not know whether to laugh or cry at the absolute stupidity of the “Newspaper of Record” during this crisis. But, as William Simon pointed out more than 30 years ago, the Times also fell flat on its face during the city’s fiscal crisis when it joined in the chorus demanding that the U.S. Department of the Treasury purchase New York City bonds.
That came at a time when the city’s financial people were selling New York bonds in order to pay off previously-issued bonds, which is financial fraud and punishable by prison. Of course, since we were dealing with financial fraud perpetrated by New York’s government, all of the criminal fraudsters went unpunished.7:10 am on March 21, 2009 Email Bill Anderson