Sunday, May 25, 2014

Liquidate Everyone EXCEPT The Idiot-Savant Control Frauds? That's The Essential Message From Tim Geithner

   (Commentary posted by Roger Erickson)



Image: Ferdinand Pecora, circa 1934

Prologue: Why don't we just liquidate the clueless Control Frauds more often?

One has to wonder why Pecora didn't indict Andrew Mellon.

As John Lounsbury at EconIntersect notes, it was Andrew Mellon who, as Herbert Hoover's Secretary of the Treasury, said:


Right. John also reminds us that this philosophy was shared by noted economist Joseph Schumpeter ("creative destruction") during the same era and remains the theory of some in the Austrian School today.

In parallel Brad Lewis writes:
Mellon's formula for what needed to happen was all the more incredible because he had criticized anyone who was concerned about the boom that led to the bust. John Kenneth Galbraith in his book The Great Crash 1929 notes that . . . "during the same month [September 1929] reassurance came from still higher authority. Andrew W. Mellon said, 'There is no cause for worry. The high tide of prosperity will continue." (p. 15) He also points out (pp. 93-94) that the Wall Street Journal considered it especially significant, in October 1929, that it had been announced that Mellon would remain in the Cabinet until 1933.

There ought to be a special place in hell for someone rich, powerful, and influential who first reassures everyone that the boom is just fine and then accuses them all of being profligate for having taken part in it.
Reserve one of those special spots for poor, clueless Timmy Geithner? Alongside Alan Greenspan, Peter Orszag, Robert Rubin & Larry Summers - i.e., the "GORBS"?

Here in Washington DC, the Post has been running a continuing barrage of articles extolling the superior insights of Geithner, how he's right while the rest of the electorate is wrong, and how he's a misunderstood, much suffering everyman. As you read, you may want to sit down with a bottle of antiemetics, to ward off vomiting in revulsion.

Timothy Geithner's new book examines his family's 'stress 
Geithner pulls back curtain, shows human side of leader 
Book review: 'Stress Test: Reflections on Financial Crises 
The world according to Geithner 
Tim Geithner and the paradox behind the government's crisis response

The only recent WashPo criticism of Geithner sounds like a rejection of Geithner's criticism of FDR, but it's actually an example of how Geithner is a boot-licker for whomever signs his pay checks. An art he learned from Greenspan, during the years that both worked for Robert Rubin (since Geithner was born?). In the list you'll notice the muted similarity between Mellon & Geithner-the-mouthpiece.
Tim Geithner is wrong about FDR  
(Read it to form your own opinion. With "leaders" like GORBS & Obama, who needs Control Frauds?)

With all the blind partisans lining up to follow TINA and her twin sister over any available cliff ... what are we to do about this mess? Personally, I'm of the opinion that little can change until there is not one single political party member remaining in US politics. The "party" method has failed, completely and long ago, and is only a method used by lobbies to keep the electorate confused, divided and conquered. We need honest citizens back in office, with no allegiance to anyone or anything except the USA.



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