Print More Money! Oh wait…. UPDATED: Now, With Zombies

January 16, 2009 / 6:02 pm • By Dr. Melissa Clouthier

Here is your brain on liberal fiscal policies:

California’s controller says he will begin a 30-day delay on tax refunds and other payments starting Feb. 1 because the state is running out of money.

The solution, of course, isn’t to cut spending, scale back on largess and live within one’s means. The solution is to print more money. Why won’t the Feds do this? Oh right, they are printing more money. They print it and now own the banks that house the money they print.

You know what’s great about this? We are becoming just like Europe. Maybe they’ll like us now.

UPDATED:

From Business Week, this scary scenario:

Zombies. Seen one lately? If not, you may soon, because they are about to menace the U.S. economy. In financial lingo, zombies are debtors that have little hope of recovery but manage to avoid being wiped out thanks to support from their lenders or the government. Zombies suck life out of an economy by consuming tax money, capital, and labor that would be better deployed in growing companies and sectors. Meanwhile, by slashing prices to generate sales, zombie companies can drag healthier rivals into insolvency.

Sometime in the past few months, zombies went from being a latent risk to a genuine threat—one that is likely to increase in the months ahead. The Bush Administration has already ladled out billions of dollars in assistance to weak banks and automakers. As the economy goes into what may become the worst economic downturn since the Great Depression, the Obama Administration will come under even more pressure to prop up sick financial and nonfinancial companies to save jobs. The debate will center on wounded giants such as Citigroup (C), General Motors (GM), and insurer American International Group (AIG). Other sectors with their hands out include steel, airlines, retail—and homeowners, who may be the scariest zombies of all.

It will get worse. No one, it seems, wants to endure the pain that comes from undoing trouble that took a long time to create.

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  • http://norunnyeggs.com steveegg

    I’ve always said to invest in lead :-)

  • http://www.chl-tx.com TX CHL Instructor

    Six months ago, I joked that the most popular denomination of the new currency was probably going to be 9mm.

    Unfortunately, I may have been correct. 9mm is getting hard to find, and more expensive, as people are buying all kinds of ammo in large quantities and hoarding it, expecting the filibuster-proof Liberal congress to enact some egregious form of gun ‘control’.

    Thanks to the Chicago Politician with the Blank Resume, my CHL training business has exploded. A year ago, 12 students was a big class for a month. Now, I have to turn away students when I get to the 21-student capacity of my classroom, twice or three times a month. My classes usually fill up a week or so ahead of time, but my January 31st class has been sold out for nearly two weeks already.

    We live in interesting times.

  • http://www.srwolf.com/reports/Stiglitz10trillion.pdf Glynn W.

    Golly,

    It’s interesting that none of the Righties managed to speak up about “fiscal conservatism” when they wanted to fight silly wars for free and simultaneously loot the treasury for tax rebates charged against the national credit card.

    Wasn’t it your own Dick Cheney who said that “deficits don’t matter.”

    Guess what. They do matter. They matter very much.

    And instead of inheriting relative fiscal health, Barack Obama has a 10 TRILLION DOLLAR problem. Bequeathed by you Bush supporters.

    http://www.srwolf.com/reports/Stiglitz10trillion.pdf

    And NOW you want to offer some advise?

    Ummmm . . . thanks. But please do stand back and try not to make too much trouble as some adults try to fix this mess.

  • Naqamel

    Texas CHL Instructor: I’ll probably be signing up for one of your classes soon, in honor of Il Duce Der Fuhrer “The One”.

  • Mr. Chuckles

    The most amazing part of your post here doc is how silent your usual gaggle of hens are on the subject. That’s probably because of the SHEER EMBARASSMENT that they must feel about how bad Prince Spendalot financially screwed over the country. Obama will probably fail to gain any real momentum in righting the economy in the first two years due mostly to the enormity of the situation, and predictably you all will blame him and conveniently forget about who put us here. Hell, your usual bunch probably won’t even wait 90 days. Nevermind that McCain wouldn’t have been able to change the economic calamity any faster, regardless of differences in fiscal policy. I can hear it now: I’ts Obama’s fault, the media’s fault, hollywood’s fault, liberal policy, etc., etc., ad nauseum. None of you can look in the mirror and admit what a colosal f**k up Bush was because you voted for him. Instead of directing your anger where it is most deserved, you will continue to direct it towards those who had nothing to do with the problem. I especially love the hollywood bashing. Maybe you all just woke up to this little fact, but the rest of us never took anyone who worked in the movie industry seriously anyway (and I live in CA). Hell, your party elected an actor!

    For TX CHL: Those people lining up for your classes aren’t there because of the imminent liberal fiscal collapse – they are there because of the current neocon fiscal collapse. Pissing away 10 trillion dollars tends to get people’s panties all in a wad (unless you are a republican I guess…).