On news that Wachovia will be changing its logos soon, I proactively called some of my CitiRecruitingFriends to introduce them to my WachoviaRecruitingFriendsWhoAreNowNervousAboutTheirJobs. You know who you are so let's talk today, k?
It's frankly pathetic that the bailout plan has become another political football. Maureen shared a letter from one of her state reps that was replete with political doublespeak and inconsequential emotional junk yet failed to address the reasons how the system created by the politicians and lobbyists enabled Wall Street to merrily run up illiquid debt that you and I will soon own. We have two political parties pointing fingers at each other - one who has been part of the system for decades and who has voted for the system, the other who has been part of the system for less than 150 days and misses crucial votes. and the ex-Wall Streeters in government continue to look out for their own and don't offer any modifications to the system that created this mess. As Hank Paulson said last week, "Trust us." lol
The point seven trillion dollars aside, let me ask you a question: Given the criminal penalties associated with Sarbannes-Oxley, can you tell me what sane person will want to hold any of the illiquid assets we're about to buy? Want to put those Googling skills to good use? Look these regulatory misfits - Community Reinvestment Act, Bank Holding Company Act - and see how they have helped create this mess.
We are over regulated by the government and people are calling for deregulation bills but they won't work. To deregulate in an over regulated environment is like attempting to care for a heavily matted cat by using a child's comb. We need to start anew and Paulson's aid to his friends isn't the answer. We have to rethink as a business nation in a global marketplace how we want to lead and what performance is desired. In the new solution there has to be limits; for you free-market proponents like me, normally I'm against limits but since these we will soon own these companies and their leadership has proven they cannot lead responsibly, there have to limits. Consider it an 11:00 PM curfew on your 16 year old for the weekends.
Any plan cultivated without fresh thinking will be like painting a lovely Victorian house in traditional colors without checking the floor boards for termites. It's time to check the foundation - something our politicians have yet to do.