Greenspan's clowns & McCain's weasels

With the election behind us, it's time now for another installment of good news and optimism, of the kind you can find nowhere else, and probably wouldn’t want to anyways. No matter what the weather is doing outside, no matter what the papers may say, I’m always sunny on the inside, because that’s just who I am. 1. Bach’s Mood Music. When we read anything about the economy these days, we should have Bach’s “Toccata & Fugue in D minor” playing in the background.

2. Recession Graphs. Some analysts are predicting an “L-shaped” recession. Some say it will be a “V-shaped” recession. Some say “U-shaped.” But I say it will be a “Clown-shaped” recession, with a graph that resembles the mug of Maestro Greenspan.

3. Capstone. How ironic that a former disciple of uber-capitalist Ayn Rand helped turn public opinion against free markets, ultimately paving the path to a more socialist government.

4. Close the Door Behind You. How sad that the only elected politico hammering the banks on their taxpayer financed “executive bonuses” is that bald whiny little Henry Waxman. Democrat. Where the heck are the Republicans? Perhaps they sit away in silence, counting campaign contributions. Time to go, folks, time to go….

5. Oops, I guess they’re already gone. Nice try from McCain there in 2008, but no cigar. Not even a cigarillo. It just goes to show ya – Neoconservatism never pays.

6. McCain’s Weasels. As predicted, the knives have come out of the McCain camp contra Palin. They waited a full 24 hours after the election to unsheathe and slice away in full pettiness mode. Glad to see Michelle Malkin and RedState tracking down the leakers, holding them accountable.

7. Relatedly. I don’t like the kind of women that don’t like Sarah Palin.

8. No Foreign Cars. If we bail out GM, and then Ford too, we will have enacted an ex post facto form of trade protectionism. If a taxpayer saves money buying a Toyota, but then must pay more taxes to bail out GM, what’s the point in buying a Toyota? Might be simpler to just raise tariffs on imports. Or better yet, pressing the logic, ban them altogether.

9. Ricardo’s High-Water Mark. The global free trade consensus seems poised to diminish. But, worry not, this won’t be your grandfather’s Smoot-Hawley. To save itself, America will soon feel a need to re-industrialize. You know, actually make stuff. Right here at home. Pretty soon this will be the accepted wisdom. How did it ever come not to be?

10. Corollary. Sans free trade, the EU will find itself en route to disintegration. Which would be just fine, really.

11. With Bones in their Noses. Power traveled further from Truth under the Bush Administration. Truth became less powerful, as our democratic republic became less constitutional. The Paulson Plans cases in point – an open-air looting of America, no congressional oversight. The elite strategy of profit-taking up to the point of bankruptcy and then, too big to fail, chiseling out their taxpayer bailouts. Wealth thus transferred from Wal-Mart shoppers towards Saks Fifth Avenue. Meanwhile, the masses have no idea what’s happening. They cannot penetrate today’s propaganda, much less tomorrow’s. When potential leaders arise capable of pointing out sundry truths to such corrupt power, the cannibals generally arrive in the nick of time.

12. Feeling Vindicated. Early spring this year, predicted deflation on the near-horizon. And so now here it is. And it’s actually not all bad. Diminishes the power of the state, and those overly connected to the state, over time. Might even slow down a certain socialist in the Oval Office. So of course deflation will be fought tooth and nail. It will become the Enemy. Osama Bin Deflation. But the powers that be may have been too greedy in the recent past to win this fight now. The little guy may accidentally walk away with this one.

13. Related Prediction. Mises will trump Keynes when all is said and done with the present economic crisis. Bad news for Bernanke-Paulson-Greenspan.

Life is grand, let us rejoice. But I repeat myself.

Yours in Optimism, Norman Vincent Peale