Obama Pushes Broad Rules for Oversight of Derivatives ...NOT good [View All]

[Badgerman]

http://www.nytimes.com/2009/05/14/business/14regs.html?hp
"The administration will ask Congress to approve legislation that would impose a new government oversight structure for the instruments, which Warren Buffett once called “weapons of mass destruction.”

In a two-page letter to Congressional leaders, Treasury Secretary Timothy F. Geithner asked for the swift approval of a measure that would require many kinds of derivative instruments, including credit default swaps, to be traded on exchanges and subject to tighter regulation. Derivatives can take many forms, but in total there are trillions of dollars’ worth exchanging hands every day around the globe. "
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The headline should read 'Timothy Geithner&Gang Win Again'. Derivatives should not be regulated, they should be outlawed. These 'instruments' are nothing more than the cards in a 'Poker Ponzi' game. If the president does not realize this, then he is dolt being lead about by the international money changers....their is ever increasing evidence that that is indeed the case. As intelligent as the man is, he appears to be sorely lacking in economics and monetary issues, and therfor must rely on advise. His advisors seemingly without exception are the very people who devised and implemented the creative instruments that performed as Buffett predicted.

The thing that is so troubling is that the hundreds of billions being poured back into the pockets of the money changers will not be available for such things as health care, education, infrastructure building and repair, research into alternative energy resources and others. some say 'Oh, not to worry. These monies are only a drop in the bucket of the Gross Domestic Product. No, the interest on just the debt now owed is well over a third of the national budget...think about that. At what point do we become Argentina a couple decades ago, or any other nation that accrued a debt so large that they had to resort to printing ever greater, and ever less valuable currency in order tostayy afloat. These smaller countries were later bailed out by the larger countries. Who will bail us out?

I am certainly no expert in any of these matters, but what I have stated is being hinted at in all corners now. Perhaps its time that those of us who put our trust in Obama and elected him, should at the very least let him know that he needs to convince us that his advisors are the best, the brightest, and most of all owe their loyalty to the country and to the President...and not to money or its 'changers'.

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