“Fed chief Ben Bernanke today told lawmakers the current financial crisis is rippling through the economy. He said it’s harder for businesses to get loans to create jobs, and harder for consumers to get loans to buy cars — hurting automakers and auto workers.”
He could have added that “it is harder for consumers to get loans to buy houses — hurting builders and construction workers…”
As we noted in “Good News Bad Reporting” on 24 March what he and his predecessors should have been saying since at least 1973 is:
“Citizens of the US of A cannot continue to expect to live off of natural capital, imported energy and loans from foreign investors. The economy must be restructured so that citizens do not have to rely on buying more Large, Private Vehicles and buying more Wrong-Size Dwellings in the wrong location to be happy and safe.”
Every bailout and every recovery that relies on buying more Large, Private Vehicles and more Wrong-Size Dwellings in the wrong location makes the prospect of a sustainable future less likely.
EMR
