In chiding the House for initially rejecting the Wall Street bailout plan, you wrote, "Monday’s performance in the House, or rather non-performance, would have made Herbert Hoover look like a wild-eyed activist." But considering that after the stock market crash in 1929, Hoover raised taxes; signed the Smoot-Hawley Tariff, which destroyed world trade; created the Reconstruction Finance Corp. to funnel taxpayer money to failing railroads and banks; and jawboned employers to keep wages up while the Federal Reserve shrunk the money supply by a third -- Hoover WAS a wild-eyed activist. And his activism helped turn a recession into the Great Depression.
Since your economics is no better than your history, I'd say the House was right the first time.
Friday, October 03, 2008
Here's my just-submitted letter to the editor at the Arkansas Democrat-Gazette:
Posted by Sheldon Richman at 10:00 AM