The financial rescue package finally passed the House, but I am concerned that nothing was learned from the experience. Nobody liked the package and both Democrats and Republicans were nauseous when they voted for bill, in what was a true bipartisan reaction. But I am concerned that Congress has accepted no responsibility for their actions in causing this mess.

Fannie Mae was nearly bankrupt in the early 80’s. Like the S&L fiasco and the eventual Social Security fiasco, the origins of the Fannie Mae problem span many administrations.

My fear is more than blame mongering; if no mistake is acknowledged no change will happen and this will repeat. Capitalism is great but it requires adult supervision. If the Congress succeeds in totally blaming the market rather than themselves then they will rain regulations on the market that will be counterproductive. I also oppose the outrageous bonuses paid on Wall Street and elsewhere, but their hubris and greed served a greater wrong.

The core cause as I have repeated endlessly is that the Congress wanted to provide a benefit without paying for it or fully funding it. I believe that this lesson has been lost on both parties and it will repeat itself again, most likely in the effort to push a policy of nationalized (or as I prefer ‘rationed’) health care.

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