$700 Billion Bailout Passed: American Principles Dying

Bad news out of Washington DC- the House of Representatives approved the massive $700 billion bailout by a margin of 263-171.  This massive step towards socialism is going to lead to dire consequences to our free market in the future.  From now on, major companies are going to expect the government to backstop all of their mistakes.  We are going to see a multitude of Enron-style failures and CEO’s going hat in hand to the Congress to beg for bailout money.

American markets have taken yet another giant step away from free market principles.  This started almost a hundred years ago, and though we still have one of the most free markets in the world, that will not last long.  We are going to see a new wave of companies taking on massive risk because the government will bail them out of their mistakes, and because of this many companies will fail.  People who don’t understand economics will raise the cry “The free markets aren’t working!  We need more regulation!”  Sleazy politicians will step in and regulate more and more… it’s a vicious cycle down into communism.

Welcome to the new Red America.