As the end of September approaches it seems that the global financial markets are again buffeted by the egomaniacs who crowd the corridors of power. This weekend has brought news that Silvio Berlusconi (Captain Viagara) has forced his party’s minister to resign from the coalition government, headed by Enrico Letta. Mr. Berlusconi was angry about losing another court appeal and in reprisal has decided to bring down the government. This will of course unnerve the Italian debt markets and send the Italian bond yields higher. Berlusconi will hope that he can craft a compromise with the government and receive some clemency and relieve him of his continued legal problems. The ability to hold the Italian financial markets hostage to instability is an expensive way to play for a legal reprieve. The U.S. markets are being subjected to a similar sort of hostage taking as the Republicans in the House are looking to negotiate away Obamacare by holding the U.S. debt levels and credit ratings hostage to political machinations. Being sympathetic to the long-term designs of the Republicans I understand there concerns but question their methods. Each time the House Republicans go down this path they ultimately cave and suffer politically at the ballot box. Better to draw up a genuine budget plan and educate the public to the destructive future budgetary problems.