Rattlesnake Ridge      

 
      BFF
“What began as a weak day in the stock markets ended in the worst rout in more than two years, as investors dumped stocks amid anxiety that both Europe and the United States were failing to fix deepening economic problems. With a steep decline of around 5 percent in the United States on Thursday, stocks have now fallen nearly 11 percent in two weeks. Markets have been plunging as investors sought safer havens for their money — including Treasury bonds, which some had been avoiding during the debate over extending the nation’s debt ceiling…….With investors in the United States already focusing anew on fragile economic growth and high unemployment, waves of selling of stocks began in Europe and continued throughout the day in the United States. Analysts said the market still might have further to fall, as investors reassess the dimming economic prospects……..”

As someone said, or maybe as someone ought to have said: asinine politicians espouse asinine economic policies and create disaster. Clearly there is no shortage of asinine politicians in the United States Congress, from both parties, although the Republicans seem to earn the prize (in asininity). There is nothing more asinine in economics than forcing a contractionary economic policy during a deep recession. Even if it is for the sake of the higher goal of political expediency. Is like Roosevelt’s double-dip recession in the mid 1930s?
I know, I know, the situation in Europe helped, but the main culprits are in Washington, DC.
Cheers
mhg



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