There seems to be a simple fact missing from all of the coverage of the AIG “bonus” fiasco: the sanctity of contracts. Congress can not be allowed to violate them. Altering a contract’s terms is the function of the parties to the contracts or of the courts when one of the parties defaults.The free enterprise system cannot operate without contracts and private property rights. Every purchase we make is a contract. Most contracts are verbal.  We make these contracts all of the time and most of us do not even realize it.  For example: When you go to a restaurant and ask the wait-staff about the daily luncheon special,  you then ask the price of the several choices, you pick the one that most appeals to your palate and your wallet and finally you place an order with the wait-staff. This is a contract and you are obligated to pay the agreed upon amount. (Even, if you don’t like the taste of it. You can argue about its worth but you can not legally do...(Read Full Post)