Cato@Liberty shows you the difference between free-market, laissez- faire capitalism and corporatism:

The seemingly arcane difference between laissez-faire and corporatism is one of the most important in today’s public policy debates. Laissez-faire means the equality of all before the law, with the state neither helping nor hindering any market actor. Corporatism means offering special favors to those who’ve already succeeded. (Just for starters: “Too big to fail” is corporatism.)

If only this distinction were more clearly understood by lawmakers, journalists, and the general public. Too often all of these groups just use the vague word “capitalism,” which seems mostly intended to split the difference — or to obscure it. But laissez-faire and corporatism are directly opposed to one another, and if more people on the left understood this, they might be far more sympathetic to free markets. Even, perhaps, while keeping a healthy mistrust of corporations.

The financial crisis that we're dealing with was caused by the government and their stooges.
This is why we are where we are today.


*

* video embed updated 10/02/2008

*In no way, shape, or form does the Professor Politico Show endorse any of the presidential candidates (only because we haven't found one to endorse yet) or their views.

From BusinessWeek:

Call it an attempt to lock the barn door before the next group of horses escapes. Even as criticism has mounted that the Bush Administration has moved too slowly to stem the slide in housing and credit markets, Treasury Secretary Henry Paulson on Mar. 13 announced a series of recommendations intended to prevent a recurrence of the lapses and errors that led to the meltdown in the first place.

"As we continue to address the current market stress, we must also examine the appropriate policy responses," Paulson said in a speech at the National Press Club in Washington. But he also sounded a note of caution aimed at heading off calls for more radical regulatory changes emanating from Congress, consumer groups, and others critical of the financial industry.

More here.

From CNBC:

Federal Reserve Chairman Ben Bernanke should resign and the Fed should be abolished as a way to boost the falling dollar and speed up the recovery of the U.S. economy, investor Jim Rogers, CEO of Rogers Holdings, told CNBC Europe Wednesday.

Asked what he would do if he were in Bernanke's shoes, Rogers, who slammed the Fed for pouring liquidity in the system and accepting mortgage-backed securities as guarantees, said: "I would abolish the Federal Reserve and I would resign."

More here.

From HomeGuide123:

The worst housing slump since the Great Depression is prompting all sorts of new bailout plans. Fed Chairman Ben Bernanke is encouraging banks to forgive portions of mortgage debt, the Democrats want to use billions in federal money (actually, it's taxpayer money) to buy up bad loans and the Bush Administration is preparing to dump bank losses on the shoulders of taxpayers.

In reality what the Democrats and Republicans are doing is exactly the same thing: They're using welfare (either social or corporate) to drop the burden of these bad loans on the shoulders of the middle class.

More info here.