We know the 'plan' is not the answer
Published in The Tennessean February 19, 2009 We know the 'plan' is not the answer By Richard J. Grant, Ph.D This current recession will end. But that will be no thanks to government "plans" and "packages." The new "Financial Stability Plan" has something in common with its companion "stimulus package," It will do the opposite of what its name promises. When Treasury Secretary Timothy Geithner introduced his plan, and the markets fell, it was said that the plan lacked adequate detail. But we don't really need the details to know that the plan is wrongheaded. First, let's deal with the silly assumption that the current downturn was caused by a free market. In the U.S., governments account for almost 40 percent of all spending, and banking is one of the most heavily regulated, and distorted, sectors. The government even has a monopoly in the creation of currency, a power that it uses to interfere daily in the credit markets. It sho