Posted on 09/29/2008 1:33:22 PM PDT by AngieGal
The Dow suffered its worst one-day point loss ever on Monday after the House of Representatives failed to pass a $700 billion financial bailout plan aimed at rescuing Wall Street from the most serious credit crisis since the Great Depression.
The dramatic day on Wall Street also saw Citigroup take over Wachovia's banking operations in a government-assisted deal and the second-largest percentage drop in crude oil since April 2003.
(Excerpt) Read more at foxbusiness.com ...
“However, Paulson and Bernake did last week, but nobody seems to listen to them.”
Giving Paulson a check for 700 billion with almost no oversight is not something that most Americans are prepared to do.
My company had to last 2 weeks ago. The stuff was ready to ship last week. Big and $$ aerospace stuff. But last week 16 critical people were out with pnumonia, dengue fever, explosive diarrhea, cholera or whatever. I avoided them today since they still looked like crap. My Guardian Angel told me to avoid the meeting the previous week:))
Not sure, as I'm not a finacial wizard either...
My concern is the potential for a lack of credit to credit worthy individuals or companies. A shortfall in that could, in my uneducated opinion, could slow their ability to make capital investments. Slowing the best players, might make it harder to build out from the failure of the crappy players.
That said, the natural order would be for those with assets to loan to those with solid credit. Instead of bailing out the institutions that manage the dollars in order to make more dollars (or print more dollars) Congress should be looking to other institutions to make their real wealth available as and if they so chose.
They (Congress) could encourage choosing to make real wealth more available as credit to credit worthy wealth producers that need credit by providing any profits made from such loans are 100% tax free.
This would let real companies with real wealth make real decisions about who to loan to, provide the incentive in the form of tax free income potential, instead of printing more money.
Instead of pumping money into banks that made piss poor decisions, give the liquidity to companies that know how to get to the bottom line of credit worthiness. Let those that were dumbasses fail, and let the real wealth producers pick out the profitable parts.
Just my thoughts - no real economic training here, but it does make sense in my feeble mind...
Imagine the look on Congress and the MSM faces if Exxon got tax free income for bailing out the economy...
Priceless...
My friend, we’re all going to pay. The question is how much? I hope you’re right and I’m wrong, but I don’t think so. If the credit markets seize up completely we’re in a world of hurt. You want to live through an honest to goodness depression? I doubt many people alive have any idea what that means.
I fear the cure is worse than the disease. I am also concerned that this is being rushed. This problem took years go develop yet we have to solve it in three days? I am just not that gulible.
The dark ages like in the movie Escape from New York, or dark ages like in the movie Mad Maxx?
I wouldn't mind living in either one of those places ...
Or perhaps when they see that there really won't be any bailout, they may have to face it and grow a pair. Are they "punishing" the markets to force a bailout?
Seems that way to me. Why is it any different "this time"?
My Grandparents on both sides were extremely frugal and wise with their dollars. They lived below their means, and saved every penny they could (for rainy days like depressions). You know why? It wasn't because of the 'availability of credit'. LOL!
Our current society doesn't do these things like saving and living below our means (well, not yet - we soon will be learning the lessons of our Grandparents too). We live on credit cards, and 100% financed home mortgages, and No Payments - No Interest deals to furnish our homes with the latest and most expensive things. We have 2 brand new cars in the driveway - and we pay the minimum amount due on our 22% interest credit cards.
Times are a changing...soon.
And Bush is only too happy to oblige.
What the United States House of Representatives,the House of Congress closest to the will of the people, voted for today is NO SOCIALISM/COMMUNISM in America!!!! If the bail out is congressionally appproved there will be no way to stop the Fannie Mae/Freddie Mac driven ACORN-enabled Marxist/Socialist/Communist juggernaut whose name is Obama-Biden-Johnson-Raines-Frank=Johnson-Gorelick-Soros!!!!
I applaud the U.S. House of Representatives!!!
God Bless America!!!
I think that has already changed. The mindset has been different for probably a year now.
People realize they need a down payment and need decent credit. They also realize they should be looking at more than the lowest monthly payment
I'm sawing the double barrels off as we speak.
P.S. To the jack-boots, I'm only kidding.
LOL You and me both!
Very light volume today. The pros are sitting on the sidelines haven already gotten most of their money out weeks ago. The rest of the week should be interesting.
God Bless you, I haven’t LAUGHED ALL DAY!!!!
hmmmmm.....guess I am going to have to google it now....lol
10% is not 22%
You are the ‘fool’, if you want this bailout to go through, when there are things this government can do to fix this mess without taking 1 trillion dollars from the American people! There are leading economists that are saying that suspending the mark to market rule would add 300-500 billion to the liquidity OVERNIGHT and that the President can do this without any bill!! There are ways for this money to be a LOAN...not a giveaway by the federal government. I suggest you get a grip and understand our country is at the jumping off cliff to socialism and in the long run it will ruin our country.
Have a nice evening.
“Throw into the mix for the 09 Arms adjusting and next year will be a recycle of this year but worse.”
In other words wrench the works now just to watch it fall apart with no chance to halt it next year.
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