Competitors be warned

Government Motors has powerful allies: The White House, FBI, FCC, NLRB, EPA, IRS, etc., etc.

Ford pulls its ad on bailouts

This is what happens when government seizes corporations. If it will decide to give money to a corporation going bankrupt, to negate legal contracts… to suspend the rule of law, then government owns the result. In the case of GM, literally and morally.

Criticism of such a deal is automatically politicized, and while political speech may be protected under the First Amendment; what is that to the Corporatist Axis? The Axis will suppress free speech in order to protect its political agenda reciprocal “investment.”

Ford should keep on, I’ll even buy one I don’t yet need just to get in Corporatism’s face.

Soft default

Paul Krugman offers further proof that winning a Nobel Prize damages your brain:

What would a real response to our [economic] problems involve?… it would involve an all-out effort by the Federal Reserve to get the economy moving, with the deliberate goal of generating higher inflation to help alleviate debt problems.

It seems to me that the Fed is already doing what Krugman asks inflation-wise, but, like Stimulus One, it’s just not big enough.

One wonders what an all-out effort would look like? Weimar? Zimbabwe? THOSE were all out efforts to inflate debt away.

Analysis of our president’s address to a Joint Session of Congress

Anyone who opposes me… blah, blah… Democrat applause line… blah, blah… is a foolish, anti-American, baby eating Republican… blah, blah… applause line no one could disagree with if they believed he meant it… blah, blah… Democrat applause line… who deserves to be tarred and feathered because he hates teachers, old people and bridges… blah, blah… blah, blah… hundreds of billions… blah, blah… fiscally responsible, will be paid for… bleh, bleh… there’s an election in 14 months… blah, blah.

He does seem to have got his 2008 teleprompters back in service. They did a fine job.

The country is in the very best of hands

First, the corruption:


Then the incompetence:
The Fed Has a $110 Billion Problem with New Benjamins

A significant production problem with new high-tech $100 bills has caused government printers to shut down production of the new notes and to quarantine more than one billion of the bills in huge vaults in Fort Worth, Texas

The good news is that that $100 billion is fiat currency in any case. The biggest cost of producing it was labor, and that stimulated the economy in the same way broken windows do.

And hey, it looks like EU script. Maybe we can recycle it to bail out Ireland.

There Will Be No Double Dip… It Will Be A Lot Worse

At Zero Hedge, Egon von Greyerz of Matterhorn Asset Management:

Very few people understand that money printing is a form of robbing the citizens of their money and their work. Money is supposed to be a medium of exchange for goods and services equalling the value of the good or the service produced. For example, an individual works extremely hard to earn an annual wage of say $40,000 which he receives in the form of paper money. The government, due to its mismanagement and incompetence simultaneously prints $40,000 in order to cover its deficits. So the government has by pressing a button produced the same amount of money that a man had to work a year for.

RTWT