Lex Luz

In Defense of the Paulson Plan

The notion that there would be "no banking system by next Tuesday" if this bailout doesn't occur is ridiculous on its face. Certainly there are premier institutions that would fail, and the shockwaves would be extraordinary. Yet there are hundreds more institutions that are well-capitalized and functioning, and they would emerge to become the new leaders of the industry.

When partisanship trumps reason, plenty of intelligent people make all manner of oddball claims and assertions. Enough people believe them and that's how we end up where we are today - ready to hand a blank check to a man who has proven himself to be either a terrible prognosticator or an outright liar. I have an opinion about which of those he is.