General Motors, having been bailed out by the government, is preparing for its massive initial public offering, which could be the biggest in U.S. history. Some will no doubt look at the bailout and conclude that GM investments now come with explicit government…
Daily Analysis
“Dump Fannie and Freddie in the Potomac”
I appeared on CNBC earlier today to explain why a stake should be driven through the heart of Fannie Mae and Freddie Mac. My debate opponents seems to be somewhat on the right side and admits that Fannie and Freddie are bad news, but inexplicably wants to keep them…
Bashing Corrupt TARP Bailouts
Appearing on Fox Business News, I summarize the many reasons why the Bush-Paulson-Obama-Geithner TARP bailout was – and still is – bad policy. I’m sure I have plenty of flaws, but at least I am philosophically consistent. Here’s what I said about the issue more…
The Corrupt Washington Version of Recycling
If you’re an American taxpayer, you’re doubtlessly overjoyed to be an involuntary shareholder in General Motors. You’ll be even happier to know that the company is squandering funds on political causes. In other words, they have enough money to be greasing the palms…
Europe’s Dishonest “Stress Test” for Banks
The Wall Street Journal correctly pulls aside the veil and exposes the dubious gimmick that European politicians used to declare that banks are reasonably health. To put it bluntly, they assumed no government would ever default, which really means that the stress test…
The Dodd-Frank Bailout Bill and the Looming Red-Tape Nightmare
The Wall Street Journal opines about the number of new regulations that will be generated by the so-called financial reform legislation that has been approved by Congress. The big winners will by lawyers, the federal bureaucracy, and politicians. The big losers will…
TARP Is a Moral Abomination
I have the “opposing view” column in USA Today this morning, and my job was to explain why the politicians who voted for the Wall Street bailout deserve the scorn of voters. I made two points. First, there was no need to bail out specific firms – even if one thought…
Why the So-Called Financial Reform Bill Is the Status-Quo Bailout Bill
Nicole Gelinas has been one of the most astute observers of how government has screwed up the financial system and her column in the Washington Examiner is an excellent summary of why the Dodd-Frank bill is a step in the wrong direction. For 25 years, Washington has…
Sexual and Racial Quotas and the Dodd-Frank Bailout Bill
Diana Furchtgott-Roth of the Hudson Institute provides an additional reason why the Dodd-Frank bailout legislation is bad for the American economy. But this shouldn’t be too surprising. Senator Dodd and Congressman Frank are akin to a couple of foxes designing rules…
Illinois May Beat California to Bankruptcy
The New York Times has a story about the budget debacle in Illinois, which is a classic case of a state with too much government and too many overpaid bureaucrats. Other than being an example of what not to do, the most interesting aspect of what’s happening in…