“Rogers, known for launching the Quantum Fund with left-wing heavyweight George Soros..”
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OK, now I understand who the Commies are and who the Commies are not. Thanks for the article clarifying.
I dont think anyone is happy with the bail out, but doing nothing would be catastrophic to the markets. Also, many individuals have shares of fannie and freddie in their 401’s or retirement accounts. So it would be a double whammy bankrupting the markets and individuals.
“The Rogers Holdings CEO had little confidence that Democratic presidential nominee Sen. Barack Obama, Ill., or Republican vice-presidential nominee, Alaska Gov. Sarah Palin, would be able to do anything to steer Fannie or Freddie on a more stable path.”
What’s McCain? Chopped liver?
U.S. seizes Fannie and Freddie
CNN | 9/7/2008 | David Ellis
Posted on 09/07/2008 9:02:41 AM PDT by CodeToad
http://www.freerepublic.com/focus/f-news/2076709/posts
Fanny, Freddie, and Obama (They go way back)
The American Prowler | 9/8/2008 | The Prowler
Posted on 09/08/2008 12:13:06 AM PDT by nickcarraway
http://www.freerepublic.com/focus/f-news/2077144/posts
But isn’t communism supposed to distribute wealth to the little guy? Thgis is kind of like taking money from the middle class and giving it to the corporate class.
Here is my take on the whole financial mess:
Plenty of stupidity all the way around. The buyers who lied about their incomes were stupid. The lending agents who encouraged/ outright told buyers to lie were stupid. The banks who didn’t verify anything were stupid. The bank’s investors who packaged the mortgages together, called it “equity” and borrowed against it to issue more mortgages were stupid. The investors who bought derivatives too complex for human comprehension were stupid. The ratings firms who blessed the whole flea circus with AAA ratings were stupid. And regulators were stupid for not stopping it much earlier (even congress was stupid for pushing hard for banks to make more high-risk mortgages).
Philosophically, I believe very strongly in a free-market economy. And that means that I believe stupid people and corporations should lose their money, homes, corporate assets, etc. So philosophically, let the buyers lose their homes, the agents lose their jobs, the banks end up with a house worth 1/3 of the mortgage, the investors lose their shirts, the ratings agency lose their credibility, and various corporations declare bankruptcy and/or merge.
But I can accept that I am wrong. I can accept the claim that this would devastate the entire US economy, drive us into recession, and cause Republicans to lose more seats in the next election.
The government can intervene in several ways, but if we are talking about a government ‘bail-out’, then that explictly means that the government is going to give (large) sums of money to entitites that have done nothing to deserve it.
And if we do that, we have two choices of targets — we can give money to the stupid lying homebuyers. This would allow them to continue paying their mortages, avoiding foreclosure, which means the bank has a valuable steam of payments instead of a less valuable house. Fewer fire sales on houses means a more controlled rate of devaluation, making non-distressed home-owners happier if they have cause to sell a house. And the various investments will likely pay at least face value until they are properly closed out.
Alternatively, we can give money to the stupid lying bank investors. That way, when they foreclose on a house worth only 1/3 the mortgage and default on the bogus investment offers and crash the housing market encouraging more people to default on under-water mortages, they won’t quite go out of business.
If we are to intervene at all, I’m not at all sure that the bail-out money is appropriately targeted. I see no principled argument explaining why investors but not homeowners should be rescued.
Typically I am against any kind of bailout, however I believe that this presents a great opportunity. The Democrats made a big tactical mistake by giving the Bush Admin the authority to take over Fannie and Fred. The Demoncrats didn’t believe that Bush would go this far. Fannie and Freddie have been operated as a Democratic slush fund for the last 25 years and this takeover will end that.
This is our best chance at cleaning out this nest of corruption. If McCain wins this election look for Steve Forbes plan to be implemented to break F&F into 12 regional private companies.
How sweet of the US taxpayers to bail out the mortgage lenders, world bankers, middle east investors, and lobbyists. Surely they don’t think they will now own a piece of our action. Some of them will probably be looking for some dividends. LOL Then there will those who think their foreclosers will be stopped thanks to this bailout. HAHAHAHAHA!
Since the US taxpayers are already trillions in debt to world bankers, with the interest clock ticking like a time bomb, what’s a few more billion here or there? All we gotta do is print more money right? Keep those presses rollin Dr. Federal Reserve...ergghh, I mean world bankers.
Catchya on the French Riv.next summer boys. My yacht is being remodeled. I anticipate the project to be complete by then.
Thank you US taxpayers. we couldn’t do it without you.
HAHAHAHA!
This is a 15 minute video originally recorded in 1985.
This is MUST see!
Please pass this along to all your friends.
http://www.dailymotion.com/video/k6KUDv1wzraWhwlBt1