I’m serious here. How am I supposed to enjoy the weekend when Congress just ripped me, personally, off for at least few grand of my hard earned dollars and probably more by the time the truth comes out. Okey, the mindset is to buy bad debt, hold it and hopefully turn a profit. The market looks to be stagnant and may remain that way for a while.
Let’s say this stagnation lasts 3 years, then takes another 3 to begin to rise. With that scenario it would be 6 years before the government can begin to see a return on this investment. Increase that to 5 years stagnation, and you get 10 years,6 years = 12 etc.etc.etc. The government may be able to turn a profit. in a decade or two. until then we’re stuck. bad economy and debt on top of it. If things get worse before they get better, which is usually the case, who will help? The government just spent the last of our money. I think this was bad no matter how you slice it. Something had to be done, yes. but not this. No one could come up with anything better than this? To me it appears that the system is broken. To throw money at a broken system doesn’t make much sense. First the system should be fixed. Then maybe a stimulus package or something of that nature. But to force a bill thru congress because “something had to be done” is very bad governing practices. $700 billion just buys enough time for the next President to get stuck with the dirty diapers. Criminal, this is all criminal.
I can’t believe the gall of Congress in lecturing Wall Street and the President when they were just as guilty that this happened as they were. From the 1990’s onward, this disaster was in the wings. With the bailout today, Congress and this President screwed us again! Every person that voted for this bailout needs to be voted out of office. Neither Obama nor McCain deserve to be President for supporting this bailout. If I had my way, every Dem and Rep would be thrown out of Congress. I thought that I could not be more disgusted with politicians until their actions today. Consider this: The Democrats always help the Bush Administration. They approved the war in Iraq, they approved the bail out. There’s no real opposition… Just a lot of talk.. talk.. talk. Oh happy days for the Democrats. Lets see, they put the economy in the crapper, tax payers bail it out, Raynes and Johnson are laughing all the way to the bank of Obama, Franks will get a promotion, Pelosi will celebrate by botoxing her face yet again.
There is no confidence, even among the thieves who benefited most from today’s huge bailout. Why? Once the bailout was a done deal, signed by the president, … the thieves were back in business on our dime. They don’t trust us, and they don’t trust one another. The market dove because they understand that most basic business principle.Without a reasonable and sound economic policy, … even the thieves understand that all bets are off. We just handed over $ 700,000,000,000 to make good on Wall Street’s bad debt. Going forward, would you trust a nation that would do such a thing? Tragically, and ironically, neither do the thieves that just committed the greatest heist in Human history! Among them I include Paulson, Bernanke and the Bush Crime Cartel.
This may help to thaw the credit market in the short term, but it certainly doesn’t address the core issue. The origin of the crisis is at the homeowner level. Homeowners are defaulting on mortgages. Moving the financial instruments onto the Treasury’s books does not stop the rising default rate. They all keep yelling about cars, houses and gimmee purchases, why don’t people just forgo what they can’t afford. It worked for generations of people.
We are far from leaning lessons of economic history. Historically speaking, financial markets have only brought economic downturns beginning with the South Sea Bubble of 1720. Maybe this Congress doesn’t have the stomach for it, but we need legislation that will enable the draconian control of Wall Street by the Fed. By the way, Ben Bernanke, the Chairman of the Fed, is relatively cheap and very smart. I think he makes about 200K a year.
The criminal FED and the treasury will have total control over America and first inflate the market to make people believe the bailout worked, then they will cause a total crash which will robbed all of you of everything you have saved throughout your whole life. As much as one might wish to have the world come to an end. Just to make sure all the rich people are (also) dead? That will not happen. Much wealth of people who though they had never actually risked it, was destroyed, there is a bumpy road ahead, but recovery will come eventually and the time until then will be very painful for many. However, for significant but politically viable social change, things would have to get much worse than that. Therefore it is a pity that the bailout went through. The new deal by FDR was forged only when the dire need of the population became undeniable. A new deal would, by the way not even even be politically viable in Europe. Too many would fear that they would loose too much – and the poor deserve to be poor, don’t they. if money is your life – maybe a good plan. But that means you have no life: God have mercy on all of you, Get right with God and prepare to defend your life.