The DOW has dropped roughly two thousand points since it became clear that Mr. Obama would become president. In the past weeks we have seen precipitous drops when the "stimulus" package was passed, and when the Treasury Secretary unveiled his "plan" for the banking industry. If all these plans are intended to save us from ourselves, one has to wonder why the markets, a predictor of future economic performance, would be declining. James Madison had an answer in 1788 that is applicable today:
It will be of little avail to the people that the laws are made by men of their own choice, if the laws be so voluminous that they cannot be read, or so incoherent that they cannot be understood; if they be repealed or revised before they are promulgated, or undergo such incessant changes that no man who knows what the law is today can guess what it will be tomorrow.
Expect the downward trend to continue while hubris exists in Washington. (And, boy, ain't
that pessimistic.)
No comments:
Post a Comment