Vatican newspaper says crisis shows failure of 'new economy'

Vatican newspaper says crisis shows failure of ‘new economy’

VATICAN CITY (CNS) – The current financial crisis pummeling the United States and beyond is a sign that the so-called “new economy” and its risky investments have failed, the Vatican newspaper said.

The booming growth of financial markets did not correspond to real growth or concrete development for society because it created an artificially robust gross national product, said a Sept. 24 article in L’Osservatore Romano.

The only real growth registered in this crisis has been “the commissions, profits of the banks and bonuses for the managers,” it said.

Bush to Meet With Presidential Candidates, Lawmakers on Bailout Plan

WASHINGTON — President George W. Bush summoned Barack Obama, John McCain and legislative leaders to an extraordinary White House summit, warning Americans and Congress on Wednesday night that failing to act on a $700 billion financial industry bailout could lead to "a long and painful recession."
Earlier, Bush bowed to Democratic demands to limit the pay of executives whose tottering companies would be rescued, and appeared to be softening his resistance to Democrats’ demand that the eye-popping cost be phased in rather than approved all at once.,2933,427642,00.html

They really need to talk much, much more about these things. There is a very strong precedent in the Church in her traditional teachings on usury. The hierarchy should loudly oppose such practices as fractional reserve lending, fiat currency, and central banks. If such practices are not usurious, I don’t know what is.

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