The Obama administration has offered little insight into how change will come to America. What
we know is that Congress will take time to approve the distribution of the $1 trillion banking-industry
bailout. Meanwhile, fear and inactivity of market participants could create a long and deep recession
period. Many businesses fear the consequences of the Obama administration policies and might be
already planning to shelter themselves from higher taxes and other undesirable government policies.
Confidence in an economic system depends strongly on speculation of market investors. The
possibility of U.S. economic default is globally feared. Investors in the U.S. and abroad are focusing
on the core of the economic problem: the massive destruction of capital caused by markdowns and
troubled assets (mortgage assets, bad mortgages, bad credit, irresponsible builders and irresponsible
consumers). Erroneous economic policies can lead advanced economies into a recession, which will
prolong the financial market recovery period and bring fears of a global depression.
A message to the Obama administration is to avoid bringing change in turbulent economic times.
Resolve the core of the financial problem with non-partisan economic policies. Policies to protect the
middle class might not help the overall health of the economy. Don’t change the leading role of the U.S.
among advanced economies. Don’t bring Marxist economic reforms to the country. Marxist reforms
in the midst of market speculation could only prolong recessionary periods and provoke a global
economic recession.