Is it really so ordered by the doctor Adam Smith or John Keynes?

Up this morning, radio news reports:

1. Unemployment is up again.  15,000 people got into the line for the benefits.  Gee, we already had aggregate of 9 million people lost their jobs in a year!

2. Foreclosure is up 70% this quarter.  When the trend can be stopped? 

3. Alan Greenspan is about to testify in Congress today to express his view that we have a once in a life time "credit" tsunami.  (NOTE: Gee! Alan, are you out of your mind!   What are you talking about?  Who cares about a narrow "credit" tsunami; while facing a more broader gigantic "ECONOMIC" ones.  See below to see a Alex's remark) The reporter John Delmare asked who can save us?  John McCaiin or B. Obama?

I am just wondering none of them has a specific plan, let alone an effective plan to solve the difficulties we have faced today.  All they talked about is any kind of dream or principle.  They are good in labeling each other: socialism or capitalism.  The only thing I liked so far is the nuclear power plant John McCain supports when I dislike his recent "spreading the wealth."  No, trust me, Obama is not so smart to come up an idea of "spreading" it, even he did say it is for us to "steal(ing) it" from the crisis.

In a comment on Irwin's article "Just what the doctor ordered" , I mentioned that there is a clue to the map for us to see the light of direction.  Allow me to quote the comment here:

Gee, in this crisis of economy and presidential campaign, it seems we have a "Joe the plumber" without license and "the Henry the Secretary" without foresight. 
Situation is somehow like if we ask a blind: "you told me we had an urgency to spend $700 billion today on the front of a war.  How come everything went so wrong!  Did you put it on the front?"  I believe, the next question out of your mouth for him would be like this: "Can you tell me where the front is?" 
Ouch, where is the front for us to fight?  Gee, as Johnny the illiterate can't read, are you asking a Hankie the blind to see the front side of a coin?
Here enclosed is a hint to the map, can you see it?

October 22, 2008 12:20 P.M.ET
BULLETIN  Dow falls as much as 700
INVESTOR ALERT
Earnings worries slam stocks

In the past two days, the frequent terms used in financial reports are "less earning", "no profit", "lower crude oil price", "job cutting" and "dim sales."   What all these mean?    To me, they tried to tell us one thing and one thing only:  no incentive of profit.  As to stock, fro the same token, we may call it "a lack of reasonable calculated risk of profit."

Without incentive, we are transformed into a zombi (no wonder some called it "voodoo economy" recently.)   No matter what it is in housing, financial, retailing or whatever you name it except crime, divorce and Ebay pawn shop sale, the downfall can't be stopped until we infuse it.

There are so many symptoms to the distress and so complicated to blind us to see the main cause.  Maybe the US economy does happen to have a heart attack and cancer at the same time as some people claimed.  If we skip (or ignore) the complexity and clarify our thoughts (to run into a possible single-minded risk) as Dr. House in "Grey's Autonomy"; or let me put it this way, if we can be so decisive as the GWB gang found the one and only resolution to cure the crisis: to spend $700 billion on "bad assets,"  can we find the main cause and a real medicine to urgently turn the economy around and stop job losing immediately?

What's the main cause or the one and only medicine under this simplified consideration?  I keep asking myself the question and try find an answer.   I have to say the main reason that causes all the above terms so popular can be concentrated on "demand" side, not Paulson's answer of (credit) "supply" side.   

Last night, I listened to Charlie Rose.  The former CEO Alex of Bear Steam claimed that the concept of "investment bank" is now dead and has no way to work again, after its great contribution to this country for 100 years.  A century-old notion can be vanished or abandoned overnigh, really? 

Wow! new generation needs new toys.  How can we make our society more fitter to survive or take new challenges?  Ooh, well, we all hear our society have all kinds of problems, like a lawsuit-prone society or "well regulation" or "no regulation".  Can we dump the idea of "lawyer rule" to have a much simplified society as Japanese have that a hot topic in 1980'?  Can we do...  It is too much for us to think for now.

Let's just pick this crisis dragging down everything financial and look at it very prudently.  Can we find a quick fix except the Paulson's baloney that is not working? 

Sure we can do it easiy.  Am I kidding?  Damn it, excuse me for expressing myself again.  Yes, I am surely an incurable optimistic, a capitalistic one, but not a naive. 

ps: No matter what kind of same old shits we put in today, tomorrow is still another different beautiful day with the Sun rising from the East as Annie's song.  Who cares whatever the GWB gang is doing if I can't do anything about it and I have my cute American dollar under my mattress?

ps: After I wrote the main article, Alan Greenspan just told the congress a few minutes ago: "It is a shock (or unbeleveable) to me" to see the current mess in financial crisis. 

How are you going to interpret his words?  

Without his full text, my first impression is Alan is right.  Although Alan may try to excuse himself, I have to agree with him that the mess is literally mishandledly created by GWB.  History will tell.

I am just wondering what it woud be if Mr. Greenspan could be in power as the chief of FED today, who handled our economy so well for so long under his leadership.   Can we blame him for what happen now, after he stepped down as us, a Mr. Joe on the main street, without any say? 

I wouldn't.