Wednesday, October 8, 2008

US economic woes

What annoys me most about the current economic gloom is that the man on the street who may have lost his entire long term savings because of the greedy actions of a few Wall Street gamblers. He can´t get the loan he needs for a house or car because the banks don´t have any money to lend. The fat cats know the system and will have their arses covered of course, while savings and pensions suffer because of the crashing stock market. The little guy loses again.

Why is it that this happens every 15 to 20 years, the governments swear there will be reform and that it will never happen again, when we all know it will. Humans unfortunately are short sighted and greedy by nature. Let´s face it, they very term growth means you have to make more than you did last year otherwise as a business you´re not successful. This is one of the cornerstones of the economy, but surely it´s unsustainable?

The recent 700bn dollar bailout is needed to get money flowing again, so companies can pay their workers and make necessary investments to preserve their futures. I just hope it´s not seen as a way of forgiving the reckless investment bankers and that when this mess is finally over (I predict a recession in Europe to come around christmas), that the perpetrators are caught and hung out to dry.