The Fed, at the expense of every current dollar holder, will payoff Bank of America to buy the bankrupt Countrywide. Bank of America, like all fractional-reserve commercial banks, is bankrupt at the best of times, and would go under in a minute without federal backing. But it is even shakier than normal now. Bernanke, as Ron Paul pointed out last night, is attempting to cure the recession with more of what caused it in the first place: easy credit. The result will be an even worse recession, perhaps for a very long time. Thank you, George “Herbert Hoover” Bush.

The Best of Llewellyn H. Rockwell, Jr.