Who Is Bailing Water?

Over the years I have spent some time in boats that leaked a little around the edges. If you stay in the water more than a few minutes, someone has to bail the water that leaks in, or you’ll go under. Isn’t it amazing how a picture of that in your mind resembles the current credit crisis in this country.

What amazes me is that “people” believe the Government will solve the problem by making some loans. Consider this paragraph from an Associated Press story:

The short-term uncertainty about Freddie Mac and Fannie Mae — which together hold or guarantee half the nation’s mortgage debt — was to an extent relieved on Sunday. Federal officials again threw their support behind the government-sponsored enterprises; the Treasury pledged to expand its current line of credit to the two companies and Treasury Secretary Henry Paulson also said the government could, if needed, buy equity capital in the companies, whose stocks lost half their value last week. The Treasury’s moves would require congressional approval.

In words we can all understand, let’s put it this way. The Government, which is you, is going to use Government money, which is your money, to bail out “half the nation’s mortgage debt.” In other words, what that news ought to be making clear is that you are the one doing the bailing. And the way things are going, you are going to need a bigger bucket, and you are going to need to bail faster (read: supply more money from your pocket  to the “government” pocket). And, if you doubt that is on the horizon, try listening to the Presidential candidates and their philosophy for solving these problems. (hint: it involves taxes)

The Bible is clear that God has a distaste for all forms of unpaid debt. While it may be almost impossible to live in our society without a little debt (never more than we can pay), the reality is that credit and mounting debt which cannot be paid has become our way of life. While these things tend to run in cycles, we are quickly approaching a point from which there will be no return. Then again, when our economy collapses perhaps we will see God’s way a little more clearly.

Start looking for that larger bucket with which to bail. The boat is leaking!