Socialist George Bush saves US capitalism

By Brian Boyd.

International capitalism’s spin doctors went into over drive recently when US taxpayers’ money was used to bailout the two largest financial institutions in the world, Fannie Mae and Freddie Mac.

The US government basically nationalised these giants of the American financial system. The Bush administration often claims that the US’s unfettered markets were the envy of the world. But with the busting of the domestic housing bubble over the last two years, this mythology has become exposed.

The bailout by US Treasury Secretary Hank Paulson has been described as the “most dramatic market intervention in years” (The Wall Street Journal). The Financial Times said the decision “will save the world from a financial catastrophe”.

Fortune magazine however warned of the downsides. Bailing out companies “deemed too big to fail…could reduce access to private capital”. In other words faith in capitalism, the free market could be coming under “severe stress”.

An amazing development as the world starts to assess the legacy of George Bush Junior as he leaves office. As if going to war on a lie wasn’t bad enough we now have a free enterprise President using ‘out of date’ socialist market levers to prop-up capitalism!

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