Category: Random News

So now the government wants to usurp the bankruptcy laws and directly seize troubled financial institutions. As Chidem Kurdas points out in Too Big to Fail Red Herring:

Scroll back to September 2008. Lehman Brothers files for bankruptcy, the credit market seizes up and stocks tank. What difference would the proposed law make in that situation? Lehman management is out and shareholders are wiped out anyway. Instead of regular bankruptcy, where the creditors exert influence, government directly takes over.

So the difference is that lenders will no longer be able to enforce their contractual claims. Oh yes, that will be just the right remedy for a fragile credit market. You’ll tell lenders they’re toast! That will really get credit flowing.

Commenting on the “pay czar”‘s decree that bailout recipient CEOs must cut their pay, Mario Rizzo observes:
We Have Come A Long Way « ThinkMarkets:

I am not here concerned with whether this is a good idea but I am simply in a state of naïve wonderment that we got to the point where this is legally possible.

Consider now the classic limited-government statements:

1. Powers given to Congress: “To make all laws which shall be necessary and proper for carrying into execution the foregoing powers, and all other powers vested by this Constitution in the government of the United States, or in any department or officer thereof.” (U.S. Constitution, Article I, sec.8, emphasis added.)

Comment: The list contains no reference to bailouts or pay czars.

2. “The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.” (U.S. Constitution, Tenth Amendment)

3. James Madison, the Father of our Constitution, clarified the authority of the federal government in the Federalist Papers #45: “The powers delegated by the proposed Constitution to the federal government are few and defined.”

I know the constitutional history but sometime you just can’t believe it.

This is the world we lost.

The spiral continues.

I’ve been wanting to see Indoctrinate U for some time, and now I’ll get the chance: my brother is sponsoring a screening!

ACME SCREENING AT HCC NORTHEAST

Please join the ACME Film Group for a screening of the provocative film
Indoctrinate U. The screening and discussion will take place from 11:45 a.m.
to 2:00 p.m. Friday, October 23 in the Multi-Purpose room of the Northeast
Campus Learning Hub.

Directed by Evan Coyne Maloney, Indoctrinate U. documents the many ways
free inquiry is repressed in colleges and universities across the United
States today. While some light snacks may be provided, attendees are
encouraged to bring their own sack lunch. Introductions and post-screening
discussion will be facilitated by Professors Aaron Knight (Government) and
David White (History).

ACME is an acronym for American Cinema for the Motivation of Excellence.
The ACME Film Group is Sponsored by the Department of Applied Social
Sciences at HCC Northeast. You may direct any questions to Dr. Knight at
aaron.knight@hccs.edu or 713.718.2445.

HCC Notheast is near the intersection of I-10 and the East Loop.

Why Is Marijuana Still Illegal?, by Doug Bandow:

There are lots of good reasons why people shouldn’t use drugs. But making drug use illegal only compounds the social consequences, turning a moral and health problem into a legal and criminal problem. The result is the worst of both worlds: all of the problems of drug use plus all of the problems of prohibition. Unfortunately, those consequences flow overseas, further undermining fragile societies such as Afghanistan, Colombia, and Mexico and ultimately American security objectives as well.

It’s time to call off the Drug War.