Tuesday, February 10, 2009

Yelling, "Fire!"

A recent post of mine over on the Blog at Mises.org:

Yelling, "Fire!"

Jim Fedako

For all the hyperbole, where is the wildfire causing all the hysteria? Oh, sure, we have problems -- big problems. But the continued source is those government agents over there, huddled in the tall grass, nervously fanning growing embers in an attempt to ignite a wad of bills.

For months, Obama and crew -- right and left -- have implied that the fire is just over the time horizon. But with each delay in DC, the horizon extends just a few more days, with the fires of doom still nowhere to be seen.

Look, if I see smoke billowing in the distance, I'm on the move. And this is where a real danger differs from an opportunistic one. Obama and crew really don't fear some impending doom, they are not in panic mode. No, they simply see this downturn as an opportunity to wrest more power from an ailing Liberty. To do this, Obama and crew must convince us that there is a fire out there, that it's wild and out of control, and that they are the firemen -- Trust us. And they must do so before we catch on to their ruse -- so, maybe there is a panic of sorts.

In our current situation, without the blanket of green fiber acting as the never-ending fuel source, the financial flames would have burned hot and fast, with new growth already appearing over the darkened ground. But the continued supply of dollars will create a huge wildfire on the other side of the horizon, a fire that will finally catch a wind and ravage the US as no fire before.

Note: If they can delay legislation for just a few more weeks, can't we just say the danger of fire has passed? Nothing to see here folks?

1 comment:

Anonymous said...

Great piece.

Funny thing is, Obama and congressional Democrats are more concerned about the bill not being passed than they ever were about the economy when the meltdown occurred, which was much, much worse a few months ago.

Banks are lending again, credit is beginning to flow again (albeit, slowly--but it's at least in a positive direction), home refinancing--which will prove to be more effective at reversing the downturn more than any dumb "stimulus"--is booming. This will prove to be a good stop-gap to folks who are losing their jobs from filing bankruptcy (rates now are around 4%).

The spenders in Washington weren't so worried a few months ago because they were giddy with anticipation of nationalizing the banking industry--and thus controlling financial markets for social engineering/program funding purposes. With the prospect that that this once-in-a-century opportunity was in jeopardy they've gone into hyper-panic mode. Now the sky is falling.

For all their failings--and they have little credibility opposing the "stimulus package" because they're enormous spenders themselves--Republicans at least defeated the $50B giveaway to the NEA, which was designed to build up their membership and cement a permanent flow of federal funds to support the infrastructure paid for by the stimulus (can't have any unfunded mandates, now!).

Unfortunately it took the GOP train getting knocked off the tracks and tumbling into a ditch for the passengers to realize how far they strayed from their moorings.