Tuesday Reading

Been a slow news week so far, and I've been too busy for a lengthy post. However, here are a few good reads:

• Amazing Vanity Fair profile on Henry Paulson, built up over 15 months of regular interviews. I haven't finished the whole thing, but it looks quite intriguing. Some telling quotes about our lawmakers: "“There’s a great lack of financial literacy and understanding in this nation, even among college-educated people.” ... As his tenure wore on, Paulson confessed, “I amuse myself a lot by sitting there (Capitol Hill) sometimes and thinking what would happen if I said, ‘Do you realize what an idiotic question that is?’" This goes back to something I've mentioned before: there's a serious, serious lack of financial education in this country, despite the fact that financial literacy is required in so many aspects of our lives.
  
• Speaking of Paulson, his brainchild, TARP, is showing some early returns.
• Deflation in Spain.
• FDIC is in trouble.
• One more: Hussman showed an interesting chart in his weekly market commentary (sent to me by a reader. Reader, you know who you are - I'll keep you anonymous unless you wish to be known =) ). All I want to focus on is that the recent crash, and the steps the government has taken, are unprecedented in the post-war era: