The Cody Word
  • October 6, 2008 01:26 PM EDT by Cody Willard

    Nothing But Vicious Cycles from the Socialist Republicans and Democrats In Charge

    As Milton Friedman would have told them as he railed against the loss of freedoms inherent in this TARP Bailout Bill of 2008, "There's no such as a free lunch."

    I don't know what else to say here.  They've passed the bill that enables one unelected Tarpzar, also known as the Treausury Dude, to deem any financial institution or insurance company an "agent of the US government".  That ain't gonna create virtuous cycles in our economy.

    Taking a trillion out of the private, profit-seeking economy and moving it through Washington directly into the pockets of the same people who have misallocated some $60 trillion in derivatives among themselves...well, that ain't gonna create virtuous cycles in our economy either.

    Taking 75% of all mortgage payments in this country out of the hands of companies and people who would choose how to handle their clients based on profit-motives and handing it to only-politically-driven Washington by outright nationalizing Fannie and Freddie...you guessed it, that ain't gonna create any virtuous cycles in our economy either.

    You socialist pigs who have been begging us to redistribute all this wealth and nationalize all these formerly private -- explain to us again how distributing the losses among THE ENTIRE POPULATION rather than just keeping those losses contained to those who took the risks (and enjoyed boocoo profits for decades too) is going to create virtuous cycles in our economy.

    Now you socialists have forced your will upon all of us.  And we all now have only what you wished for.

    And we're already down 1000 points since the TARP bill was passed by those elitist Republicans and Democrats in power who were so sure that if you and I were only a little more "educated" that we'd have been okay with destroying the foundation of our country.

    If you've got a time horizon of five or ten years or more...it's not a bad time to start putting a toe in the water.  But as I've been saying since word of these disastrous wealth-redistribution interventions started hitting -- the more the government does, the lower the market heads.

    Vote out any politician who voted for this bill.

    I am so sad and scared about what Washington's done this time.  Remember how ticked off I was about the $160 billion stimulus (still proud of that bill, Washington???) package earlier this year?   We're talking ten times that much these days, as if it's nothing.   It's not nothing.  It's huge.  And it's bad.  And scary.

Don

This an abomination of capitalism. It's like letting the mugger who just stabbed you operate on you to fix the wounds. Do you really trust the guy to fix the problem? I predict that someone will propose global agency to govern global financial systems rules and regulations. Everyone should be very wary of this. It would end American capitalism as we know it.

October 6, 2008 at 3:03 pm

Ralph Harrison

Let's hope for a tie in the Electoral College on November 4. This will force a vote by the House for a new President. With a turnover of great magnitude in the House entirely posssible, possibly a real president might emerge. Might I suggest Ron Paul.

October 6, 2008 at 2:45 pm

The J

Cody, what are you talking about? The Stimulus worked great (I got a new plasma TV) and the bailout has already worked beyond my wildest dreams. Now I dont even have to worry about losing my now state owned housing. Things keep going this way and we keep going with these types of policies it wont be long until I can quit my job and just live off your salary. Keep up the hard work, that benz I want to buy with your money aint cheap.

October 6, 2008 at 2:42 pm

6ftrabbit

Geez, Cody. Take a pill, lay off the caffeine, roll some smoke, have some 15 year old sourmash, chill out. It's not quite the end of the world (yet). Hell, if you are that depressed, I'll even let you park a mobile on my land in exchange for some help around the farm. :) ;) Nothing like scrabbling around in the dirt, or bagging a deer for the freezer, to improve your mood. Let the big city stew in it's own juices. Country folk can survive. :)

October 6, 2008 at 2:41 pm

Frank Cardinali

My we ARE just a bit angry, aren't we.. you are very right though, and I filled out my early voter ballot yesterday, and did not vote for anyone that voted for this bill.I will say that some of the people you work with are just as bad as the gov't, with people like Casone telling us we don't understand the thing and should be for it whether we like it or not.Some of us DO understand, but want to do the RIGHT thing, even if it hurts, because RIGHT is better than RICH if its the only choice.

October 6, 2008 at 2:28 pm

Mitchell

I see a market renaissance in some regards from this travesty of a movement from quasi-free-market capitalism towards socialism. Why would companies expose themselves to such volatility at the behest of government punctured markets? I work for a privately held company, and I know of other privately held companies that aren’t worried about this market turmoil, because they have less regulation and can thus avoid the ebbs and flows of the economy. They are not beholden to shareholders and the SEC, but to their bottom line, if they make money, it is filtered on down. Companies like Koch Industries, Cargill, Peter Kiewit Sons, Bechtel, etc. I know for a fact that my hometown bank, which is privately held, does not have credit issues, as they did not give out loans to those that weren’t creditworthy, they had no push to create exotic instruments to increase their stock value on a publicly traded market. They made money by making good loans to good people. Privately held corporations are going to be the winners in all of this and the pendulum may start swing back that way….that is until the government tries to figure out a way to screw them up, too. Free-market capitalism is the backbone of the world economy. Vote the socialists out.

October 6, 2008 at 1:49 pm

about this blog

  • Cody Willard is an anchor on the FOX Business Network. Willard is also the principal of an investment management company. He was a long-time featured columnist for the Financial Times and TheStreet.com as well as a regular featured economist and stock picker on CNBC's ''Kudlow & Company."

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