Bailouts May Cause Recession
There’s an idea.. That after we burn through our own federally administered funds, the recession may come back to bite us again.
This poses one simple problem, it would have to go away first for it to come back. We shouldn’t try to shore up the economy with patchwork legislation. We should nip it in the bud by suffering a temporary ill while the bad companies die. This would allow us to emerge even stronger. Instead we are propping up companies that don’t meet the market litmus tests. Like auto companies. If there product was worthy, the market wouldn’t punish them like they have. Bad products means going out of business. It’s simple, and it needs to happen. Would it be bad? Yes. It would stiffle our economy further, but like a groundfire it is necessary to clear the underbrush for greener growth in the future.
Nature is cyclical. Markets are as well. And so is global heating and cooling.