I just sat through 15 minutes of the most senseless banter ever conducted on national television. It was an interview of Steve Forbes on CNBC. In that interview, Forbes advanced a novel idea for addressing the problems befalling our debt laden economy...don't mark assets to the market!
What a brilliant solution! In one fell swoop, with a single stroke of the pen, all of our problems could be resolved. The entire financial mess has been rectified. Bear Sterns can be resurrected. Lehman does not need bankruptcy protection. And AIG can remain unscathed.
Just think of the simplicity. No rating agencies to worry about. Certainly no reporting problems to the stockholders. With one bold pronouncement, all counter party risk is eliminated. Gone are the days of accountability. All we have to do is say we intend to hold these assets to maturity and all the mark to market problems are resolved.
With thinking like this, there ought to be a public outcry for Forbes for President...or Chairman of the SEC...or president of the Financial Accounting Standards Board...at least mayor of some town somewhere.
This is the kind of advise the McCain campaign is getting. This is a recommendation from one of this countries financial leaders. It's time to pray for the republic.
No comments:
Post a Comment