Posted on 09/26/2008 2:30:19 AM PDT by library user
Current running total: $1,014 billion.
The numerator is too low, but what is really wrong is the denominator. There are about 125 million taxpayers in the USA, so first, you don't divide by 305 million, you divide by 125 million, so it's 1014/125 per taxpayer = $8112.
BUT WAIT. This is wrong too because half of the so called "taxpayers" don't pay any taxes so you really divide 1014 by 62.5 giving $16,224 per paying taxpayer,
BUT WAIT. That's wrong too since the top 1% of taxpayers pay 30% of the taxes so (.3*1014)/1.25 is the cost to the hardest working group or they get to pay $243,000 each to the friends of big government who caused this mess.
I’m with you on this - look at post #21 to see who has real pain. This is just part of the propaganda from the evil alliance between big government and big business designed to screw you out or your cash while they relax on their yachts. The top 1% of taxpayers will get hit a quarter of a million dollars on this. Now I don’t know about you, but I scrimped and saved and did without to pay off my mortgage, why the hell should my money go to pay someone else who didn’t scrimp and save’s debt? F... Bush and Kongress.
But the mortgage backed security is as it implies BACKED or collateralized by the mortgage which liens the real property.
The problem as I understand it is that these mortgage “packages” that were sold contain good as well as bad loans and the problem is no one knows what pkgs have what bad mortgages in them. In a worst case scenario 20% of ALL mortgages go bad and if that is the case then 80% do not. This means that if the gov’t lays out 700 Billion it will recoup 80% or 560 Billion. It will be a 140 Billion hit but not nearly as bad as the 700 Billion number being tossed about.
Why give my $3K to the homeless so he can have a happy life, why not give my $3K to the single mother of 4 or a out of work union employee or my next door neighbor. Hell I got an idea, why don't I become a disadvantage person and everyone else can start sending their $3K to me. Man, I hate socialist.
The devil is in the derivatives and credit debt swaps.
Even finding the good and bad loans that were packaged and sold will be a challenge. I suspect record keeping may not be “up to code”.
The subprime primer - financial meltdown explained with stick figures. Slide show - use arrows at the bottom left of page to advance slides.
http://docs.google.com/TeamPresent?docid=ddp4zq7n_0cdjsr4fn&skipauth=true&pli=1
From what I’ve read, you are correct.
Tell me something, though. Weren’t all the sub prime and ARM mortgage derivatives sold in bulk? If so, some of them would be good and will be repaid.
In any event, I’ve read that the government will use them as a base to sell bonds, thus making a profit from them, which would greatly reduce the bailout cost to the taxpayers down the line. (Providing the Dems don’t use the income to spend more of our OUR money.)
Something else that bothers me is that the Dems are now asking for banks to stop paying interest on deposits in order to reduce the banks’ debts. HEY, I need that interest to pay my bills. And think of all the elderly who saved, and did w/o to have money for their old age who will end up on Welfare.
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