I hope who ever wins, they're smart enough to offer a cabinet position or Ron Paul. I think he's great except on national security.
The Yellow Button akin to the Military's Red Button.
Paulson is gonna push the Yellow Button.
Google "Economic Collapse"
USA gov't plans on declaring force majeure on it's debt. They are not even attempting to fix this and have never even tried to. We are riding the end of the debt bubble and it's about to pop.
You can read the effects of the bubble popping when you see what happens next. Just google economic collapse and see what I"m talking about.
Why bail them out?
So we can repeat this again?
We can't keep having these too big too fail moments. This is complete bull .
How about dividing 700 billion aka 1 trillion amongst the American people?
The American people are getting socked again and yet some of them are leading the charge to run and support the cause of saving these big time financial ins utions.
Bernacke and Paulson are crying fire so everybody runs scared and says yes sir, let's hand over a trillion dollars to the financial ins utions who just took a business risk and lost.
If big businesses can take a risk without the consequences of there being a risk, we're all ed. This is what just happened and what will continue to happen as long as there are "companies that are too big to fail".
The American people are getting slapped around and saying please sir may I have another.
Don't believe these guys. What the do they know? They just watched this happen and now they're giving out advice on how to solve it?
Ben Bernanke is the Chairman of the United States Federal Reserve. You're telling me this is just now coming to light for him? Bull .
I say no to the bailout to. Good for Ron Paul. We need more independent thinkers and less yes men.
Think for yourselves and look what's really happening. Our money is being floated about out their to save private ins utions. The same private ins utions that have executives that need $2 - $150 million a year to just sit their and make unethical decisions that can leave at any time with complete immunity.
Were are those guys? I want to see some board of directors lists and some meeting details, minutes, and transcripts. Where are these geniuses that have these golden minds that are worth $10m a year?
Read between the lines you fool. You're getting screwed.
you think the bailout is for these financial ins utions? The bailout is so the American people will not have to live through another great depression.
that 700 billion better come in, because if it doesn't, get ready for all assets like your car, house, 401k to lose 20-30% overnight. credit will dry up so you will see our economy contract in a hurry. Auto, airlines, construction will see massive layoffs.
If they don't do something now 700 billion is going to seem like $5 bucks a month from now.
sad thing is, these politicians have to know this, but they are playing russian roulette because it's an election year.
2cents doing his best fear-mongering, swallowing Paulsen's BS hook, line, and sinker.
the bailout is of the finance industry, not heavily indebed American citizens whose household debt exceeds househould income by 10%+.
Hard times are coming either way. Also, most Americans probably aren't selling their houses or cars any time soon. Cars aren't much of an investment anyway and only get back money as an incentive to buy a new one.
Certainly this bailout is cloaked as for the American people - how else would it go through? But it is for the Financial Ins utions. Sure, maybe more of the loss is spread around and Americans won't feel a brunt impact right away but all this does is put off the inevitable.
You don't have financial ins utions lose trillions and take it from the American people and get to say disaster averted. All this means is we suffer a little less now and more later.
We are paying for their mistakes and when they get profit it will not go to us. It will never go to us.
If you are a long term stock holder, your stocks will go back up if the company(ies) you invested in are indeed good companies. Massive layoffs - yes there will be massive layoffs.
But at some point, this scheme of replenishing money to the people that just stole it all has to stop.
And look at the alternative, you spend this money and you increase inflation, taxes go up, more layoffs.
This type of stupid ass decision making is what keeps getting us in trouble and the people that keep falling for it perpetuate the problem.
Stop falling for it.
Bottomline - Joe Average pays for Butter Dollarsworth's $5m annual salary again.
All this money is going into somebodies pockets. A $1 trillion+ buyout isn't the answer.
If our capitalistic marketplace was pure, the economy would be flourishing. Capitalism works, but not when people keep ing with it and getting away with it.
No morals, insatiable greed, unethical behavior, illegal behavior, back door deals, and government bailouts of all of the above will never allow our economy to thrive.
OPEN YOUR EYES.
You're being bilked.
Here's another bailout question...
So we pay to bail out the financial ins utions, and we don't go through another Great Depression.
What then?
Do the companies pick up where they left off and make money while doing nothing for the consumer?
Is this nothing more than a slap on the wrist?
Isn't this kind of like someone going out and wracking up HUGE credit card debt, then filing bankruptcy? I don't remember which chapter it is, but isn't there one where those filing bankruptcy keep all that they have? Yes, they have bad credit now, but still.
If you're referring to sanctions, none are coming. There will now be more regulations and restrictions but forget about the penalties for these companies.
It's the exact same as someone racking up CC debt or losing in any other business adventures only the government is bailing them out. What they retain depends on this upcoming bill which will leave them with plenty on the au es of the government is only buying their assets to sell later for more.
Flat out fraud is what's going on here.
ron paul is a no one
That's what I was afraid of.
These companies have taken beatings already. Many of these struggling assets have been marked down to 20-30% of acquisition cost. They will have to recognize these huge losses when they sell to the govt to clean up their balance sheets. Lots of job cuts. They may have to give up equity shares to the gov't as part of the bailout package. AIG in fact had to give up an 80% share to the US Govt as agreement for the $80 billion loan, payable at an ungodly 11% interest rate.
They aren't exactly getting off scot free here. Their firm values have been destroyed in most cases due to the risks they took and how they backfired.
The government is buying these assets at fair market value. The word "bailout" is not really indicative of what is truly happening here.
2Cents is right. Without an injection of liquidity into the system, the certain credit crunch would shut down the flow of money to consumers and businesses and really choke the economy. It'd be pretty ugly.
If there was a run on banks because consumers lost all faith in the safety and security of their deposit accounts, things would get ugly and fast.
The Dems and Repubs need to stop ing around. This is absoltely no time for partisanship. Some issues, this like one, are too important to F around with...
Fair market value? Then there would be no buyout. They would just sell to the market. US is paying substantially more - hence bailout.
The US will be paying FMV or very close thereto. These assets and derivatives are going to be bought for .20-.30 on the dollar.
They cant sell to the market because these assets are now basically illiquid. No one wants to touch them with a 10 foot pole now that the truth is out about them and is painful to see.
It's not really a "bailout" per se, but a transfer of risk from the companies to the US taxpayers. The US govt is incurring $700 B -$1 T of risk, not giving cash payments.
We won't know for years what the final cost to the US govt will be. Some believe the Govt will actually turn a profit on the deal. The word bailout has been used far too liberally.
This will be the $64,000 question. The "bailout" will lead to higher inflation and higher interest rates. It will become more expensive for the US to borrow money after they borrow another trilliion for the "bailout", no doubt.
Do these 2 negatives outweigh the positives? IMO not necessarily, but I can see a case for the other side. Bottom line is that things are going to be ugly for a little bit of time no matter what the Govt chose to do.
I think it's important to note that Paul has long abhorred the federal reserve. He's as much advancing his agenda of a long-held despise for the Fed as he is giving an honest opinion about the bailout IMO.
you are a dumb ass. he has predicted almost every major event that has happened to the US since about 1983. just read his books.
the one that scarce me is the the NAU. and the systematic death of the dollar to create the Amero.......its coming.
..........and as for national security................he was on target with that to.
Ron Paul is very well learned in how a government should be run.
Unfortunately, people would prefer to maintain the status quo, even if it eventually runs the country into the floor. Ron Paul is very good at identifying the problem in a situation and knowing how to solve it. Congress can't even do it on a single issue after 8 years.
I think Ron Paul is stuck in 1789 on a lot of issues and doesn't have a good grasp of reality. He's very aware of our Revolutionary History...but he seems pretty ignorant on a lot of things that have happened since...especially when it comes to foreign policy.
He's wrong if he thinks we can go back to being isolationist...
easy on the scarecrow tactic here, he is still dead on with this issue tho, IMO.
Hey I'm the guy saying we should do away with insruance companies...I imagine Paul probably agrees with that. I agree with a lot of stuff he says about minimizing govt...I just don't agree with having that approach across the board. That's his mindset on every single issue...which IMO, brands him as an extremist by definition. America attempting to be isolationist is like the Cowboys, Lakers or Yankees hoping teams won't get up to play them...
It's just not a realistic goal, it's just not going to happen. Many many years after we're no longer the establishment...then we can go back to being isolationist...but even then it's doubtful it will last.
The Native Americans were pretty much isolationist...how'd that turn out for them?
Stone age hunter-gatherer tribes didn't set sail to conquer the globe? Go figure.
How'd being isolationist turn out for the Neanderthals?
You know that guy in school that was always getting harassed and picked on by other kids?
He was isolationist.
they didn't know how to use their Garmin.
Ron Paul is an idiot that thinks the "Free Market" will solve all. There is no such thing as a free market and never has been. As long as we have to deal with a global market there is no way we can have no government restrictions. His no government policy is dangerous and encourages mass exploitation. We are in the problem we are now in because we had little government oversight to begin with. Less would be that much more dangerous.
And 2cents is only half right this bailout is for the people and for the boards of the finance industry. We're footing their bonuses, but the alternative would be much worse. It would lead to a much worse recession maybe even depression.
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