While I haven't written about my stance on the flood of bailouts, I have been against it all along. Pouring tax payers' money into a select few elites in the name of helping the economy has sank my respect for the American government to a new low. This is just like the Bush's Weapons of Mass Destruction lies and the subsequent Iraq invasion all over again, only on an epic scale and the effect much more encompassing. However, the situation have reached a new low. In today's news, there's talk of banks asking for credit card debt forgiveness. They might as well just hand out each American a million dollar cheque. Then watch the American dollar become Zimbobwe money and plunge America back to the Medieval era when people would barter for their goods. The sheer stupidity of this move is below even that of Bush's intelligence! If what the U.S.A. is doing lately isn't socialism, then I don't know what is. That is one huge factor why I've been long gold and silver with my accumulating position in SLW. It looks as though we might be in for a continued downtrend in precious metal prices. But sooner or later, prices will reflect their true values. Update: The Big Picture made a post about mortgage bailouts today on the same issue. Barry puts the issue of bailing out bad debts succinctly, "moral hazard not only encourages recklessness, it leads to people looking to avoid responsibility for bad decisions."