Uncle Milty May Have Been Funny But He Wasn't Practical

Many economists for years have championed the theories of economic scholar Milton Freidman even though his theories have seldom worked in the real world as we pointed out a few months ago. Gentle Ben Bernacke the man who dosent have the stomach to just say no to the big bankers is a practicing faithful follower of Milton and his solutions for fixing a depressed economy. Milton after years of exhastive study found that the great depression was caused by a liquidity crisis rather than the crashing of the stock market as most economist believe. Milton Freidman went on to theorize that if only more more money were made available for the bankers back then the great depression could have been avoided. The Detroit Times said that in a way the depression was a good thing because it got rid of all the dead wood. The excutives that had made a lot bad mistakes that helped cause the the depreesion were forced out and this made it easier for President Roosevelt to bring the economy out of the depression. Paul Krugman in todays New York Times reaffirms what what The Detroit Times had stated about Freidman's theories that they dont work in the real world and should be abondoned for more practical solutions. Just throwing money at the bankers like Gentle Ben and Paulson have done is wasteful and dosent work. $700 billion down the drain is a lot of money anyway you look at it. How is that going to get rid of a bad executive like Gm's Rick Wagoner? It isnt and thats the problem. What it is going to do is just prolong the misery we are in and make it harder to get out. Gm under Wagoner's direction will receive $14 billion for openers from the Paulson bailout express. This is the guy who caused Gm's problems with his weak leadership. The next ten years look rough for the U.S.
A GOOD CITIZEN has pointed out there is a book about Chalabi and Bush that may help us find out the truth about what Bush really did know before the Iraq invasion. Just look in comments under our last column The Book:Chalabi and Bush for the title.
THE BROKER; Crude Oil and the British Pound trades both became profitable today. Again take profits when they are there. Again we are scalping and not trend trading