US finacial bailout plan fails

[Walter Ego]

(sp)
Financial bailout plan fails.
Capitalism continues to collapse.

VIVA LA REVOLUTION!!

 

[bogdana]

you are retarded. Revolution into what? communism? doesnt work. monarchy? are we going to get a queen soon? Gee I hope so.

 

[nugz]

they'll just fiddle with it and agree on something else similar.


all seems fishy to me though...

 

[Not Right in the Head]

(sp)
Financial bailout plan fails.
Capitalism continues to collapse.

VIVA LA REVOLUTION!!

The only people who think it's collapsing are the ones who don't have any money or power in the first place.

 

[bogdana]

they'll just fiddle with it and agree on something else similar.


all seems fishy to me though...

too bad none of those guys listened to the actuaries that said all those sub prime mortgage deals were going to come back and bite them in the ass. ohhhhh wellllll

 

[chica]

too bad none of those guys listened to the actuaries that said all those sub prime mortgage deals were going to come back and bite them in the ass. ohhhhh wellllll

Okay, can someone explain to me who loses the money because the price of real estate drops?

 

[bogdana]

Okay, can someone explain to me who loses the money because the price of real estate drops?

The biggest problem is they gave home mortgages to people that cant afford them, at a low interest rate. Then the banks upped the interest rate and a LOT of people couldn't pay their mortgages. without the banks being paid they tend to not be able to put more loans out and be business as usual.

also part of the problem is the buying and selling of mortgages between financial corporations. There's been some smudges and blurring of the lines and now the banks cant even really verify what they "own".

 

[Not Right in the Head]

Okay, can someone explain to me who loses the money because the price of real estate drops?

The homeowners lose, because much of their home equity could have been wiped away by falling prices.

The investors lose, because they bought mortgage-backed securities that are riskier than they've ever been, and that are now impossible to unload because nobody wants to assume that risk.

Bond insurers lose because unlike insurers of physical goods and property, the collapse of one bond can cause a cascading effect in other bonds because of a drop in investor confidence.

We all lose because our f***ing government allowed investment banks to greatly exceed their debt-to-income ratios in order to cash in on the boom, and now we, the taxpayers, are in a catch 22 scenario: either we bail the f***ers out to keep the system afloat, or we let them fail, and thus risk a massive avalance of worldwide financial collapse.

You're welcome, Rest of the World!

 

[bogdana]

We all lose because our f***ing government allowed investment banks to greatly exceed their debt-to-income ratios in order to cash in on the boom, and now we, the taxpayers, are in a catch 22 scenario: either we bail the f***ers out to keep the system afloat, or we let them fail, and thus risk a massive avalance of worldwide financial collapse.

You're welcome, Rest of the World!

As per usual, YAAAAAAAAAAAAAY AMERICA!

Us little people did what we could. We followed the rules and I for one am still paying my mortgage

 

[Coiffeur_En_Flame]

 

[Buzzetta]

(sp)
Financial bailout plan fails.
Capitalism continues to collapse.

VIVA LA REVOLUTION!!

Don't you still have Kings and Queens?

 

[Buzzetta]

our queen!

You are always exempt from comments that I make - such as that above.

I mean I was born in Kings County... except we refer to it as Brooklyn.

 

[Zelda Zonk]

Hahahahahaha.
It's pure greed.

 

[Mozzy1]

Legality: is this social mandated?

If this is mandated, this is going to be a MAJOR situation...

 

[Black_Eyed_Sioux]

our queen!

Gawd bless 'im! *Wipes away a tear*

 

[Not Right in the Head]

Back on topic, peeps.

A libertarian take on how the bailout plan would make Karl Marx happy.

 

[Anaesthesine]

There is a reason they call economics "the dismal science." Even the big guys don't know how to resolve this one.

My father-in-law is one of those Chicago School of Economics (formerly) Republican gurus. He was part of the Nixon administration, friends with Milton Friedman, taught Myron Scholes, and hung out with many familiar names from the S&L crisis (deja vu). He is one of those conservatives who realizes that supply side economics is a gross misunderstanding of a very simple principle, and deregulation is a good way for a few people to get rich quick, and then lose it even quicker.

Anyway, he's a good guy, understands politics and has as good an idea as anyone what's involved in the current mess. He's been using the word "insane" for several years now, but no one in Washington has been heeding any warnings whatsoever (Did I mention that he was friends with Donald Rumsfeld?). He's not panicking, so neither am I (although we haven't talked since the bailout failed).

He's voting for Obama, by the way.