Recently, Fannie Mae, and Freddie Mac have been in the headlines facing financial hardships. Now, the federal government is planning to privatize the two (huge) mortgage lenders. What does this imply? That the taxpayers will foot the bill for the consequences of a private lending establishment that underestimated its assets, or overestimated its potential. Either way, the public will have to financially bail out these two behemoths of capitalism. Does this seems as if Free Enterprise is dying in the U.S.? It most certainly does! Yet, this type of privatization is not restricted only to the U.S; Earlier this year Great Britain privatized Northern Rock, a major British bank after it became insolvent.1 Therefore this means we are in the midst of a global pattern of nationalization of Banks. I believe that this was also done in Israel back in the 1980's, when Bank Leumi, and Bank Hapolim became insolvent.2
When the banks are nationalized, or privatized it is run by the government. By running such banks, these governments begin to resemble the dictatorships that are characterized by the state's monopoly of the nation's assets and industry. I see a bad omen here. It seems as a harbinger of more privatization, and nationalizing. The perfect conditions for the prophesied "Buy and Sell" (buying and selling restrictions) scenario: When the governments will impede a person from obtaining goods and securing services. It doesn't look good from here onward.
Get ready to pay dearly for this massive bailout. And get ready for more loads being heaved on your shoulders. Who's gonna take the weight? We are! Yet, the ones at greatest risks will be those that will not compromise their religious beliefs in spite of financial sanctions.
This is going to be truly "Global"..............Arsenio.
Footnotes:
1www.republicbroadcasting.org/index.php?cmd=news.article&articleID=1326
2en.wikipedia.org/wiki/Nationalization
