September 16, 2008

  • Financial Crisis

    Who's to blame?  The government or the banks?  I ask because I currently view the subprime mess and its progeny as separate from government policy.  With the "Feds" only way of fight both inflation and recession by controlling interest rates, where an inverse relationship exists between the two by raising and lowering interest rates, what is the government supposed to do if banks got a bit too greedy?  And....is it truly the fault of the current administration or it just the fallguy now?  And...just for speculation, would a government typically more involved in regulation been able to prevent the current financial crisis?