Bill Gross Proves Too Much Money is in the Wrong Hands

[Post Summary]

I have drunk my wine with my milk.
—Song of Solomon

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Mark these words. When you read hypothetical Congressional testimony from the likes of PIMCO's Bill Gross saying, "The goal of future policy should be to recapitalize lending institutions while maintaining the basic infrastructure of credit markets," you have before your eyes an eloquent, well-educated man whose not-so-hidden panic reveals just how fraught with unimaginable risk is principle placed at his firm.

FACT: "the basic infrastructure of credit markets" has been compromised over many decades. Just look at the steady collapse in the number of AAA-rated companies. That someone in Gross' position frets over "maintaining" our hopelessly bankrupt, securities-based credit system gives you opportunity to witness someone with assumed intelligence turn fanciful, wishful, hopeful, etc. Was there ever a surer sign of desperation and panic? Capitalism is famous for eating the likes for lunch.

—Tom Chechatka