in another one of those popular 'release it on friday because nobody pays attention to the news on friday' blurbs, the fed today explained its reasoning in the bailout of bear stearns and its subsequent 'emergency loans' to wall street companies.
here's our view: criminally negligent oversight led to the current financial fiasco, which is just the latest in a long line of federal f*ck-ups in the financial sector, going back to bank failures during the great depression and the savings & loan scandals of the 80's.
america is supposedly an open market. that means that companies operate on the principal that they assume the risks of doing business. this included the possibility of failure. it does not mean that we agree to bail them out every time they do something stupid, crooked, or both.
if we let a few of these losers crash & burn, the impact might be sufficient to get our attention off britney spears just long enough to force our federal regulators to actually do their jobs and regulate the industry that they currently only golf with.
