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Oh, how the media love to tell us things in language that hides what's really going on. Today's headline in the New York Times (the paper of record, you understand) says "US May Take Ownership Stake in Banks". What they mean is, the Treasury Department, newly omnipotent since the bailout bill passed, is going to try to nationalize the American banking system. Notice, however, they don't call it nationalization.

It's not like they can't spell the word. When it comes to an identical plan by the British banking system, they call a spade a spade. They use the word nationalize. When it comes to American banks, the word is recapitalize. All this, of course, is trying to defrost the credit markets. In short, the banks don't trust each other enough to lend each other money. Which then leads to the following question. If banks don't trust banks, why should we trust banks? Or hedge funds? Or insurance companies like AIG?

You've doubtless heard about the group of AIG executives who had the bad taste (not to mention sense of entitlement) to go on a $440,000 dollar spa vacation AFTER their company was bailed out by taxpayers. Even the White House couldn't stomach that one. But I digress. The world's major central banks took the unprecedented step of lowering their interest rates by one half percent. Oh yeah, and the People's Bank of China was one of the participants. When it comes to money, ideology and human rights will just have to take a back seat.

So what does all this mean here in the States? It means even before the $700 billion dollar bailout is implemented, officials are scrambling for a Plan B. Remember, we told you not too long ago there was no Plan B. Well, now we know. It's official. There is no Plan B! There's also no miracle cure for a downturn that has become worldwide.

Don' be surprised if Uncle Sam comes right back to the taxpayer to fund yet another rescue scheme. And don't be surprised if there's a run on banks sometime in the near future. And finally, don't be surprised if the media won't call it what it is.