should they still be to big to fail

I'm sure you have seen the news about big financial services companies like Fannie May and Freddy Mac being bold out by the government.

our about JP Morgan buying out Bear Stearns.

on of the common reason giving for helping (or buying) out these business is the fact that they are two big to fail.

and the truth is if they did fall they would have had a big effect on the economy.

but is this a sign that we should look at these companies and ask our selves should we allow a few companies have this much effect on our economy. should we break up these financial institutions to make sure no one is so large that if they fail they have the chance of taking down our whole economy with them.

maybe it would be a good ideal to make sure a financial company can only have so much of the american market.

stop whinning, the bad economy is all in the mind...short of

I am sure by now you have heard about Phil Gramm interview with the Washington times where he said we Americans are a bunch of whiners and that ideal that the economy is in bad shape is all in our minds.

and you know what he is right...short of.

and you know what else is a state of the mind...the ideal that the economy is doing the greatest it has in 30 years, like Gramm says.

How can he say the economy is doing gangbusters while everyone else feels like the economic troubles are ganging up on them?

simple it what one choices to look at that makes us think the economy is doing good or bad.

for example for those who think the economy is doing bad might be looking at the fact that the value of the American dollar is down (close to 50% when compared to the euro) while some one who thinks the economy is doing good well look at the fact that our volume of exports we sell has skyrocketed upward.

one may think the American economy is doing bad because of the number of jobs going over seas where labor is cheaper, but on the other hand someone who thinks the economy is doing good will point out the great deals we are getting from these goods made on the cheap and how much profit the companies are now making.

people think the economy is bad because they see a lot of foreclosed homes, where as other people think the economy is good because they can now get great deals on homes.

the people who are think the economy is good may look at the fact that the economy is growing. the people who think the economy is doing bad while point out that this growth is a lot lower then has normally been.

so on and so on.

IMF checking over our books

The IMF is going to do something it has never done before in its 64 year history.

The International Monetary Fund want to run a Financial Sector Assessment Program on the US.

I'm a bit shocked at both that the fact that this is happening and the fact that this is the first time.

it's sad that our economy has came to this point, and I have to admit I am a bit nervous that will find out somethings that could make things worst for our economy (at least in the short run)

but the truth is I also think the American economy really needs this. If we are to truly get better, we need to know what is really wrong with our economy and have every thing out in the open.

it the end of an era where no one questioned America or it's economy. of course even though that era is over it doesn't mean that it's going to be bad for the economy. sure we are going to be judge like everyone else and can no longer coast but we can still be champions on a level playing field.