(Post by BT) Crisis or clean-up? That’s the real question here. I think it’s more about a clean up. Unfortunately, I wasted my precious time to hear president Bush “speak to the nation” and the “American people” the other day, and it was all too familiar. I began to reminisce a time not too long ago, when he used scare tactics and fear to sell us on this great idea called war in Iraq. Remember? The “smoke them out of their caves” fiasco? Well, the smoke cleared and we found nothing! So, here we are all over again. The media turned into a theatre playing the drama, not even a great soap opera writer can pencil in this stuff. New twisted plots, new lies, new excuses every month. Year after year!

I listened closely. It’s not about Wall Street. It’s about melting the frozen credit. Aha! What an interesting terminology. How do you free up something that is not really tied up? Remember, it’s credit, not cash. There is cash out there. Plenty of it, trust me. Just no appetite to get burnt again, investing in companies ran by greedy, incompetent thieves (Lehman CEO), or lending cash through banks who give credit to people who should never get it, to buy junk or overpriced houses.

Why a clean-up? After this kind of crisis, people like president Bush, who failed in all their previous businesses (true!) will not be able to get money again, just to fail again. People who have bad credit will have to fix it by being responsible. People without sufficient assets (down payment, for example) by starting to learn how to handle and their money. People with no credit, will need to earn theirs. People who can’t save a down payment will not be able to buy. Logical, isn’t it? That’s the truth!

The big business got used to looking the other way, breaking rules with no regard for consequences - now those record profits are no longer to be had. Now that these reckless practices have come to light, yesterday’s loan kings are today wondering how to get back into the game.

So the government uses scare tactics again. You won’t be able to pay for college. You will lose your pension (reminder: many “solid” pension funds are locked into REITs). You know, when you go to BJ’s and Target, you wonder how the economy can be so bad… why are the lines so long? Thankfully, the rent paid by these big buildings goes into feeding these pension funds. I can write about this for longer than you are willing to read. If you don’t see the point I am trying to make, just write a comment. At least I will be responding to real questions. I promise I won’t use scare tactics.