i got this in my email today.......
this daily email newletter is free

the Repubs and Dems can't be trusted with money, info, Truth, or anything else...........they are corrupt.........

when they say that they will stop abortions,,,,,,,,,don't believe them

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Turmoil on Wall Street
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show details 1:40 PM (18 hours ago) Reply



September 22, 2008
Audio Version
Click here to listen.
Turmoil on Wall Street
by Kerby Anderson



Last week Wall Street was in turmoil with the news that two established investment banks were collapsing. Lehman Brothers declared bankruptcy and Merrill Lynch was purchased by Bank of America.
By the end of the day, the Dow Jones industrial average dropped more than 500 points. It was the biggest decline since September 17, 2001 the day the New York Stock Exchange reopened after the 9/11 terrorist attacks.
Although this may have caught many of us off guard, many others saw it coming. The New York Times reported that several weeks ago Treasury Secretary Henry Paulson had a list in his mind of major institutions that might not be able to resolve their huge investments in troubled real estate. That list included Fannie Mae, Freddie Mac, Lehman Brothers, Merrill Lynch, and Washington Mutual. Another financial institution of concern is AIG (American International Group).
Sadly, what happened last week on Wall Street could be a preview of coming attractions. One commentator said "we will see a similar breakdown of the U.S. Government's Social Security system, with its ill-fated pension system and its even inauspicious Medicare system of financial health care. These government schemes are fighting a losing battle against demographic realities, the laws of economics, and the rules of arithmetic."
My commentary last month on Fannie Mae and Freddie Mac is appropriate here. Financial analysts and commentators were saying that when you subsidize risk, you get more of it. Others pointed out that when the federal government was involved in regulating these entities, it eliminated the many concerns of risk.
It is possible that the government is learning this lesson the hard way. We now know about a meeting that took place the weekend before last Monday’s turmoil. The Treasury Secretary and the Federal Reserve Chairman called together key players from Wall Street to inform them: "There is no political will for a federal bailout." Of course that didn't last long given the actions later in the week. Amazing what a few days can do to your resolve. We could only wish they came to that same conclusion in March with Bear Stearns or in August with Fannie Mae and Freddie Mac, but it’s a start. I'm Kerby Anderson, and that's my point of view.



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