The merits of the bail out deal can be debated until the end of time. All the arguments are compelling:
- Why reward risky behavior?
- Why should the tax payer bail out wealthy wall street?
- If we don’t the economy will suffer.
- With out a bail out the credit market comes to a halt.
No matter what you believe, the lack of a deal leaves us in uncertain times. That is why the Dow dropped nearly 800 points. Investors do not like uncertain times.
As much as I hate the thought of bailing out the Titans of Wall Street, I just want the doom and gloom to stop. I think the only way it does stop is with some kind of a deal.
How serious are our lawmakers about solving this crisis? We shall see, getting re-elected may be more important. Election day is not far off and the incumbents have not had much time to do any campaigning. Let’s see if they choose to do that instead of staying in D.C. to hammer out a deal that will calm the American Investor.
