4.14.2008

Do as I say, not as I do

Treasury Secretary Henry Paulson says no government bailout for the housing market:
Governments "need to resist the temptation of price controls and consumption subsidies that are generally not effective and efficient methods of protecting vulnerable groups," Paulson said [...]

Paulson said price controls and subsidies "tend to create fiscal burdens and economic distortions while often providing aid to higher-income consumers or commercial interests other than the intended beneficiaries."

Oh, wait. He means that developing nations should resist the temptation to help starving people, not that the U.S. should resist the temptation to bail out lenders, realtors, and housing speculators.

No comments:

CalPERS Fail

Despite the awesome bull market this year, CalPERS again missed its return target, earning only 5.8% vs. its required 6.8%. CalPERS has mi...