Should we support a government bailout?

I don’t have an easy answer.

The big, fat chicken in me wants to say, “YES! FIX IT!!!” This is because I fear what will happen to the economy in the short-run if we allow the financial sector to fail, and fail hard.

The reasonable gal, however, knows that a multi-hundred billion dollar bailout is only a band aid and, even with government intervention now, we will be traveling back down this road all too soon.

Deep down I know that government is the problem. I have very little faith in government to be able to fix what ails America’s economic system. I fear, however, what will happen if bank after bank fails, credit becomes too tight (what is too tight, anyway?), and people start losing jobs.

Then again, who knows if all this would really happen absent a government bailout? We’re merely taking the words of a couple of politicians/economists who clearly support a big-government bandage.

I suppose we could look at America’s economic system like a wayward child. The parents have turned a blind eye to bad behavior and Jr. is now up to his eyeballs in debt. Do mom and dad bail him out yet again, pay off his debts, and cross their fingers that he won’t get in trouble again? Or should Jr’s parents sit back and say, “We screwed up by not teaching you properly and allowed you to get yourself into this mess, now you need get yourself out”?

Dave Ramsey always says that getting out of debt won’t solve your money problems unless you change your behavior. Maybe, just maybe, with this government bailout AND a change in economic behavior, there is hope for America yet. I have little hope, however, that with further government intervention the movers and shakers in Washington and on Wall Street will change their behaviors.

Oh, how I long for a President Ron Paul

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