My readers may or may not know that I attempted to run for Congress. I did so for a variety of reasons, but the biggest of the reasons was to bring important issues to the forefront that were not yet being discussed on the political arena. For instance, last November during the primary debates, the major candidates were arguing who was more wrong on their stance on the Iraq and Afghanistan situations, while I was talking about the economy. There are hundreds of people who heard me talk at length about it for those who would accuse me of rewriting history. I bring this up because I felt then, and still feel today, that I have a better understanding of several of the issues facing our country.
I bring this up because today with the bail out of Citigroup my predictions about the finical industry have come to fruition. I attended the July blogger bash at Josephs Recovery Room, and while there, I made some predictions to other bloggers:
idonotknowme Says:
July 30th, 2008 at 6:35 am e
Predictions made at Blogger Bash:
Ciitbank/Citicorp/Citigroup will fail or receive a government bailout within 4 months (i.e. before November 29)
Washington Mutual will fail or receive a government bailout within 6 weeks (i.e. before September 2)
90 banks will fail in the next 12 months.
(note: idonotknowme is stating the predictions that came from me, follow the July 30th, 2008 at 6:35 am e link for full context)

So let us examine the predictions:
1)Citi will fail or receive a bailout before November 29.
- Today November 24, the federal government an agreement to give Citi $20 bn
2)WaMu will fail or receive a bailout before September 2.
-WaMu was seized September 25 by the federal government and sold to J. P. Morgan Chase (I was 2 weeks too early)
3)90 banks will fail in the next 12 months
-according to http://ml-implode.com/ over 300 lending institutions have failed, not counting Citi
While I am not proud that these particular predictions have come true, I do feel that I have been vindicated in my understanding of the financial crisis. Also see my post Bank Local – No Crisis Here
to see that locally owned banks are still the best place to keep your money.

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