An Economic Model For Barack Obama
“Bankers angling for a slurp at the U.S. government’s bailout trough should be careful what they wish for. Today’s freshly minted capital might become tomorrow’s debt.
How could that be? It turns out the accounting mandarins are looking to redefine the difference between equity and liabilities on corporate financial statements. And, based on what they’ve decided so far, there’s a chance the government’s bailout dough will have to be shown as debt on banks’ balance sheets someday. That would make sense, too.
improved liquidity is no substitute for pure, unfettered capital that can be used at a company’s discretion. Nor does putting the label “capital” on the Treasury’s bailout money make it so.
Let’s call this taxpayer cash what it is — a bridge loan. It will help. It just won’t get the banks very far.”
How far will Obama go …
Barack Obama is under pressure to pursue Roosevelt’s and Kennedy’s presidency patterns – both of which are not the best of role models. In the meantime, the US Government deficit is increasing. The bill has ballooned to nearly US$2 trillion – and this is just the beginning.
How does this ball of wool unwind?
The 2ndlook model for a Third currency Bloc is ready. Join in to review, participate, critique and develop the First Cut. While the need for a new global reserve currency has been evident, there is very little in the public sphere. The speed of events has clearly caught the BRICS and Third World napping – and unprepared. But, not 2ndlook – who, from the very beginning, proposed that the world should stop clinging to the Dollar-Euro skirts.