Re:  "Maestro's Music Plays On and On"

In "Maestro's Music Plays On and On", Mr. Steffy criticizes the government for not taking a more activist, interventionist, micromanagement role of the banking industry in return for the bailout cash.  He bemoans that the government is doling out billions of dollars while only "hoping" that the banks will do the "right thing" with the money, implying that the government is more likely to know better than the private sector what the "right thing" is.  I would like to remind him that it was the government's opinion over the past 10-15 years that the "right thing" was to create a huge tax incentive for home speculation, to encourage banks to make more subprime loans, and to lower downpayment requirements — the very steps that led us into this crisis to begin with.  I'm curious to know the source of Mr. Steffy's faith that the government has suddenly grown wiser and more forward-looking in terms of what is best for the financial sector.

Sincerely,
Dave Smith