Bernanke as Lenin

Posted by: Michael Mandel on September 22

Given that Bernanke and Paulson are about to socialize risk in the financial system, it’s time to bring back the cover image from earlier this year—Bernanke as Lenin.

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Reader Comments

Bob

September 22, 2008 05:21 PM

Lenin didn't single handedly run a $1 trillion hedge fund with no checks and balances, and no accountability. Paulson is more powerful than Lenin. Financial warfare may be more potent than missiles and armies.

Mike Reardon

September 22, 2008 05:44 PM

This week may be the first step in the passing of the Imperial Presidency and the rise of a new Congressionally mandated economy. They (Congress) will take the blame so they will not give it back into the hands of a few businessmen to go into the ground. Paulson and Bernanke will in the end only have the choice of marching in the direction set by Congress or not having a direction at all. This may only be the first step in a power shift that will leave the next Administration as a clear secondary player in the economy. No blank check.

Sheeples March

September 22, 2008 07:52 PM

Whatever bailout passes, US is turning out to be a land of sheeples. First everyone buys into the american ideals. Then everyone buys an american property no matter how much debt. Finally everyone commit their children to pay for wall street. Sheeples, let me hear you

LAO

September 23, 2008 12:04 AM

Pursuit of the thoughts inspired by this image is too painful. I am somehow reminded of the terribly misguided economic thought that says if we would just break all of the windows in all of the houses, then everybody would have a job.

Suffice it to say that (Intel founder) Andy Grove's notion that nobody ever succeeded in business without being paranoid has served me well. I apply it broadly.

Joe

September 23, 2008 09:05 AM

Every catastrophic event is another excuse for the government to grab more power. I just hope they give it back when this one is over--has that ever happened?

I bet here were numerous bills sitting around waiting for something like 9/11 to happen so they could be introduced. I'm sure that's how we got the patriot act. It's how we got to war with Iraq. I'm sure Bush was trying to figure out a way to go in there before the attacks.

subgenius

September 23, 2008 01:35 PM

From Mike Stathis, Managing Principle, Apex Venture Advisors

As far as I’m concerned, anyone who doesn’t conduct a full investigation of this charade leading to several CEOs and other executives in prison with all of their assets being shuttled into America’s bailout fund doesn’t have what it takes to lead America anywhere except on its current course – downward. But it doesn’t really matter at this point anyway. Washington and the greedy bankers have ensured the end of what was once a great and proud nation filled with hope and opportunity.

The Blame Game Has a Purpose

All of you democrats and republicans out there, it’s time to wake up and smell the stench. The blame game will get you nowhere. It only serves as a scapegoat to place blame on the other party. You need to realize this is a problem with both parties. It is a problem with Washington. Based upon all that has happened…soaring gas prices, record foreclosures, massive taxpayer fraud, ridiculous bailouts, exportation of jobs, cancellation of pensions promised decades ago, Wall Street and bank scandals that go unpunished, I am shocked there have been no protests in Washington. Perhaps Americans have simply become too complacent and have come to accept this abuse. Is this the America you were told about as a child? Is this the America that makes you proud? If you are proud to be an American then you need to get up and take action. If you do not then you have conceded defeat.

LAO

September 23, 2008 06:17 PM

Mr. Stathis, I believe you are largely correct. Just tell me what action to take that will make a difference.

I am sorely tempted to rant about my frustrations over not being heard, or even having a chance to complain when the rules are quietly changed. My generation seems to be getting all the blame, yet I haven't noticed any younger generations publicizing their ideals or trying to make changes. I don't think most of them have even been voting.

Even so, I'll gladly join you in Washington to speak my mind, but, please, what should I say?

Mike Stathis

October 15, 2008 05:10 PM

LAO, while those were my words, I did not post that here. I do not know who subgenius is but appraently he reads my material. And good for him. He is ahead of the curve.

As for me doing something, I actually wrote "America's Financial Apocalypse" in 2006 to warn people of precisely what we see today. I predicted everything, including a depression, collapse of Fannie, Freddie, banks, etc.

Yet, I have been censored and ignored by the mainstream media for 2 years now despite contacting every single show and network. They prefer to air their clueless, lying shills to protect their political and financial agendas and to keeo Americans in the dark, only admiting things are bad after it's too late.

I did my part. I dedicated over 1 year of my life to writing this book and I did not try to sell anyone gold or anything else as others have. I could have made a lot f money if I had but my only motive was to warn Americans in advance.

Along with Washington and Wall Street, you should blame the media clowns from CNBC to CNN and ABC, etc for ignoring me. They are lying crooked bastards and must be sent to prison with the others.

DO NOT WATCH TV. TURN THE TUBE OFF AND LET THE RATINGS DECIDE THEIR FATE. DEMAND THEY STOP AIRING IDIOTS WITH HORRENDOUS TRACK RECORDS AND START AIRONG REAL EXPERTS WITH GREAT TRACK RECORDS AND WHO ARE NOT AFRAID TO TELL THE TRUTH.

And most of the newspapers are the same. The entire media establishment in America embraces what these clueless economists have to say when history show they are lost and serve as government shills.

Mike Reardon

November 26, 2008 05:55 PM

Lets be clear Paulson and Bernake have given this enormous supply side injection into the financial silos in the last months of the Bush Administration without gaining any direct system wide change or return to the nation. With the numbers committed by Paulson and Bernake, it is only going to be a harder struggle to get real investment into the true economy.

Over the next few years it will be necessary to wrestle back these financial injections while at the same time having to have government invest in real national infrastructure. The returns from any new investments and any true business investments will only continue to fill the rewards built by these acts and going to these same financial silos that caused the crisis.

And.. Congress will get this from here on and what has to be done will end more as a political solution than a financial one. Get ready not for a socialist administration but one formed in reaction to the last acts of a supply side Bush Administration.

Its not Lenin and the Socialists that Paulson and Bernake should be compared to, its Putin’s Russia, with a total disregard for the will and intent of Congress and a gifting of wealth to groups of financial elites.

LAO

November 30, 2008 08:06 PM

Mike Stathis,

Thank you for your comments; excuse me for attributing the whole comment to you.

Curiously, I did turn off the TV about 2 years ago, yet an economy that seemed doomed to self-destruct remained something that I felt uncomfortable discussing outside a close circle of friends due to the sheer paranoid sound of it. You were not alone in your foresight, but the warnings failed to reach critical mass.

Even now, I vascillate between viewing Americans as falling victim to an evil, greedy, arrogant plot versus mass delusion so pervasive that it is hard to fathom -- equally ugly.

I now realize that I have encountered you at seekingalpha.com. Keep trying to rise above the noise. I plan to read more of your articles.

Mike Stathis

December 5, 2008 10:04 PM

LAO, do not waste time looking for me anymore on Seeking Alpha. I have since stopped posting there due to censorship and once I discovered what their real purpose was. 99.9% of the authors are clueless morons and have never worked on Wall Street. They are wannabe traders. Seeking Alpha has absolutely no standards for submission other than making sure to post stock tickers so the articles go to content feeds to generate ad revenues. Don't waste your time there. I post on Financial Sense and Market Oracle (for now)> I'll see how that goes.

Thank you for your interest. This blog is no longer active.

 

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Michael Mandel, BW's award-winning chief economist, provides his unique perspective on the hot economic issues of the day. From globalization to the future of work to the ups and downs of the financial markets, Mandel-named 2006 economic journalist of the year by the World Leadership Forum-offers cutting edge analysis and commentary.

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