After a Congressman recently said on C-SPAN that the TARP was only passed after warnings of national collapse and martial law, a blogger at DailyKos came to the conclusion that this is just what the dr. ordered. That what we really need is for everything to be wiped out:
REALLY? I believe ’em, and I get why Dodd & Co. weren’t about to let it happen. But… REALLY… wouldn’t that have been the best thing for everyone? ight now, we have a Republican party devoid of credibility playing politics with what tiny percentage of the GDP can actually be spent to help people. What would have happened if the system simply, fully collapsed?
I seriously doubt they would institute “martial law”- maybe an “economic martial law” as in freezing all assets valued over x amount. Most companies in the U.S. and the world would be, on paper, insolvent. And, suddenly, all this wealth that has been transferred to the top 1 per cent, is completely meaningless. You and I, with our sub-$100,000 accounts, would be fine. But the massively wealthy, it would all come crashing down. It would be yet another in a series of illustrations beginning with the robber-barons of the late 19th century, that this kind of greed-based-crony-capitalism DOES NOT WORK.
It would also have been the END of the unelected Fed presiding over the U.S. monetary system. Remove monetary policy from the Fed, and place it back in the hands of the people (through the House and Senate), and suddenly when main street suffers, politicians suffer. It changes everything.
It would also be the end of the IMF, etc. as there would be no money left to help deploy crony capitalism to the third world.
We wonder. Are there a lot of folks out there who feel this way? That we’d be better if everything went to all-out crap?
(via Nate Silver)