Friday, September 26, 2008

Real Economists Disagree

Chicago area economists lead opposition to bailout

Senator Richard Shelby went to the White House armed with a letter. The letter is signed by 200 economists, including three Nobel Prize winners, and warns Congress not to back the bailout.
Prof. Cochrane says despite what you hear from Wall Street and Washington financial armageddon is not upon us..."Before you go nuclear I think we need to know if there's something really bad out there they're not telling us about," said Cochrane.
Both Sapienza and Cochrane say the Bush administration is hyping the urgency with which Congress needs to act. They believe the markets can hold their own for a week or two or three and give congress time to determine whether such a big bailout is essential.



Yes, actual experts think this may be the wrong solution. In other words:

"Manos Arriba, esto es un robo!"