Doom and Gloom Has Got the Best of Us

And all we think about, and talk about, these days is economic failure. The latest headlines about unemployment are just the latest example. Yes, more than 8% of the population is unemployed, but that means 90% are still working!

This is not meant to be a paean to Pollyanna. But it is a request that we start putting all this bad news in perspective. Especially the media, and the administration.

Last week Sheila Bair, who's done a great job as head of the FDIC, inadvertently raised the fear level with the announcement that the FDIC fund was running low. How ridiculous! They have a direct line of credit from the Treasury for $30 billion. And does anyone think the government won't extend more help to prevent a run on the banks?

Now there's a bill in Congress to extend the FDIC's line of credit at the Treasury to $500 billion by dodging TARP limitations. This is politics at its worst. Everyone knows that whether labeled TARP or Treasury, all the money comes out of the same pocket -- yours!

Then the president bashed the AIG(AIG Quote) bailout revision. Of course, this failing company could not pay 10% interest in the money it received! Despite the phenomenally stupid credit default guarantees this company wrote, the government won't let them fail and destroy the retirement funds of America's teachers, invested in VALIC annuities (AIG products).

We're scaring people beyond belief. Here are excerpts from emails I received in just the past two days, regarding the safety of money in banks and insurance companies: