Well, What Now? Some Thoughts On The Economy

The mess on wall street has degenerated into a fist shaking, back biting, teeth gnashing mess – and I am totally entertained! Ok, so maybe I shouldn’t have quite so much glee as the infrastructure of the economy crashes and burns, I know.

I do have complete faith that big banking and big business will recover with no more than a temporary black eye. Now the little guy? You and me? Well, that’s not such a rosy prospect, now is it? So, I have to admit that while I’m thoroughly enjoying the media zoo surrounding recent events, I do have that small voice in the back of my mind (which sounds a lot like Morgan Freeman!) saying “Well, now, and what will this bailout mean for you in the long run? Hmm?”

The fact is, most people agree that the bailout is A Very Good Thing. But I have yet to see anyone accurately predict what it will mean. We’ve reached the proverbial rock-and-a-hard-place, and there are no graceful ways to save the day. Only hard choices.

From a mass media perspective, this is the government’s attempt to swallow Pop Rocks and Coke. They’re just hoping no one’s stomach explodes.

Think it’ll work? It’ll take a miracle!

(Don’t know what this photo is? Sit back and let Miracle Max explain why the economy is only mostly dead! Memo to Washington: Please note that a chocolate coating will make the bailout go down easier. )

So. With all this uncertainty, let’s take a look at some of the folks who are giving us the real facts this week, shall we?

The Chocolate Coating (There’s A Pork Lining In Every Cloud):

For some fun facts on the wacky things that will be subsidized as part of the $700 million dollar bailout (Including wooden arrows and Jamaican Rum!) Check out these articles:

• There’s plenty of pork in Wall Street rescue at The Smart Spending Blog
• The 2008 Bailout Bill-Wool Wearers, Racing Fans and Forest Eco-Systems Can Finally Rest Easy @ Frugal Dad
• How a $700 billion bailout became a $800 billion “rescue plan” @ Wisebread

The Bitter Pill:

From the individuals actually daring to put forth an opinion on the bailout, here’s the news:

• Insiders Perspective: Embarrassing Congressional Reaction to an Originally Dangerous Bailout Plan @ Milk Your Money
• Emergency Economic Stabilization Act of 2008: What it does, what it will cost, and whether it will work @ The Dough Roller




• Wall Street Bailout Bill: 5 Examples of Wall Street Trickle Down Effects @ Steadfast Finances
• Bailout passed in Senate. What’s next? @ My 1st Million At 33
• Congress To Vote Again On Economic Bail Out Plan @ Money Crashers

The Secret Ingredient:

Along with the continuation of the bailout saga, there were a few less-publicized but decidedly better smelling proposals from Washington this week.

• U.S. Treasury to Guarantee Money-Market Funds @ The Sun’s Financial Diary
• FDIC Asks to Temporarily Increase Deposit Limits @ Blueprint for Financial Prosperity

Common Cents:

(The blogs for the rest of us!)

• Ask the Readers: Choosing a Bank During the Credit Crisis? @ Get Rich Slowly
• The Only Thing We Have to Fear Is Fear Itself @ The Simple Dollar
• Will cash become king again? @ Credit Cards.com
• Time to get back to basics @ The Mighty Bargain Hunter
• 10 Frugal Steps To Help You Survive A Tough Economy @ The Digerati Life

Editor’s Choice:

I had to pass these two on…

• The Credit Crisis is REAL! It has to be, since it has an official definition on Investopedia….
• Inspire Me! Do you appreciate what you have? @ Gather Little By Little

Carnivals, Festivals, and a Cuppa Cheer:

Thanks to these carnivals for featuring our articles this week.

• Money Hacks Carnival #32 – Have You Ever Edition @ The Financial Blogger
• Carnival of Debt Reduction #159~They Never Said It Edition @ On A Quest To Be Debt Free
• Carnival of Personal Finance #172 – Meltdown Edition @ Debt Kid
• Carnival of Credit Report Stories @ Fix My Personal Finance
• Money Hacks Carnival #31 — Crisis And Bailout @ Moolanomy

Well, that concludes this week’s edition of “Help, we’ve fallen and we can’t get up!”

Sincerely wishing that both you and the economy will live long and prosper!