Despite the near-term budget costs of ending the occupation of Iraq and the war in Afghanistan, terminating these pointless military adventures would produce immediate large out-year budget savings. Closing many foreign military bases and cutting a gratuitously large military budget would produce more out-year savings. The Obama administration's belief that it can continue with Bush's wars of aggression while it engages in a massive economic bailout indicates a lack of seriousness about America's predicament.
Rome eventually understood that its imperial frontiers exceeded its resources and pulled back. This realization has yet to dawn on Washington.
[NATIONALIZING THE FEDERAL RESERVE?]
The Bush/Paulson bailout plan of approximately $800 billion has been followed a few months later by the Obama/Geithner stimulus-bailout plan of another approximately $800 billion. Together it adds to $1.6 trillion in new Treasury debt, much of which might have to be monetized.
Could this massive debt issue be avoided if the government took over the banks and netted out the losses between the constituent parts? A staid socialized financial sector run by civil servants is preferable to the gambling casino of greed-driven, innovative, unregulated capitalism operated by banksters who have caused crisis throughout the world.
Perhaps the Federal Reserve should be socialized as well. The notion of an independent, privately-owned Federal Reserve system was never more than a ruse to get a national bank into place. Once the central bank is part of the state-owned banking system, the government can create money without having to accumulate a massive public debt that saddles taxpayers' and future budgets with hundreds of billions of dollars in annual interest payments.
Free market ideologues will say the government would inflate. However, the government has been inflating for generations and is now set on a course for hyperinflation. ("" by Paul Craig Roberts. Counter Punch. March 26, 2009.)
There's hope for Paul. The thing this lacks is the truth that the plutocrats know how to use the military to make gains for themselves in mammon. Also, the plutocrats aren't Americans. They're globalists. They are bankers with their eyes on creating a global monarchy out in the open. It exists behind the scenes (in the dark), but he wants to have his offspring rule in front of everyone worshipping him. It will be his downfall. His ego is his undoing.