Sunday, March 22, 2009

"Too big to fail" is a too big problem

Even if you argue that AIG and others are "too-big-to-fail" so they need a bailout, we must NOT LET IT HAPPEN AGAIN.

We let smaller corporations merge into these mega-corporations that are inefficient, unable to adapt, or innovate, and ultimately non-competitive - because they don't have to compete - they have the implicit guarantee of a "too big to fail" bailout.

I still question whether the consequences of letting them "fail" will really end the world as we know it, as Bernanke (and may others) say. It's not like propping them up is really working all that great anyway.

If they fail, won't their assets be scooped up by smaller competitive firms and so the system will resume?

Obama not the defender of Individual Rights after all

During the campaign, Mr. Obama told us:

"As President, I will uphold the constitutional rights of law-abiding gun-owners, hunters, and sportsmen. I know that what works in Chicago may not work in Cheyenne."

He was responding to the landmark Supreme Court decision in District of Columbia v. Heller, which established that the Second Amendment protects an individual right to keep and bear arms—not a collective one. Until this case, the Supreme Court never ruled, one way or the other on the matter, and now they have.

Then, after winning, Obama selected outspoken gun control advocate Eric Holder to serve as his attorney general. Throughout his career, Holder has argued in favor of the collective rights interpretation of the Second Amendment. During his confirmation hearings, when asked about this and his support for sweeping and restrictive gun control measures, he reluctantly said "the Supreme Court has spoken" - with a huge smirk on his face.

Such arrogance is bad news. This guy is the law now and clearly intends to ignore the Supreme Court and leading liberal legal scholars on the matter of the Second Amendment as an individual right and continue with his own interpretation of the Bill of Rights in general. Great. Didn't we have enough of such arrogance for the last eight years?