Bail out fails

Rant on!!

These dumbass CEO morons that LET there banks fail, can just deal with there OWN problems.. WHY does it HAVE to be MY problem...

Oh.. I'm sorry Mr. CEO.. Your not going to be making 1 billion a year now.. oh boo F**KING who.. Welcome to REALITY! Grow some balls and find a solution to your own problems.

Rant Off!! 8)

No one comes to bail MY problems out, so why should anyone else??

It's called maturity, which your parents are supposed to teach there kids, lol!

Clearly, these guys couldn't care less what they spend it on, they just want to get their hands on $700 billion dollars of our money.

I don't think we should question the motives of Secretary Paulson: a guy who could've done anything in the world when he left Wall Street, chose to go to work in government to serve what he truly believes is in the best interests of his country. He sees a situation that is alarming and that needs drastic action to prevent a disaster. I'm alarmed too, as I think we all should be - and we can disagree with Mr. Paulson and the actions he has recommended, but to demean his motives and imply what you are implying, is demeaning to all of us as citizens. Lets discuss solutions...Paulson and his crew have focussed their energies 120 hours a week to come up with a plan that will help you and me, and maybe prevent a complete meltdown that would be a financial disaster for anyone but the richest people amongst us. I think they deserve some real credit for doing this on our behalf....

I am philosophically opposed to the bailout. I think Jeff Miron puts a fairly succinct argument here
http://www.cnn.com/2008/POLITICS/09/29/miron.bailout/index.html
He, and 166 of his fellow economist sent a letter to the congress last week articulating why they should not bail out. Hopefully, they will remember those arguments later today when they vote.
The one question that I have is: are we somehow "obligated" to pay/bail these guys out. because after all, our representatives (such as Barney Frank and others) basically encouraged the lax standards for loan approvals with a "wink-wink, nod-nod" that sure, we (the gov't has your back...go to vegas gamble, keep the winnings, call us if you get into trouble..?)

The Fannie and Fredfoe story is a minor sideline in all of this. The bigger issue is Credit Default Swaps, which were used to insure these mortgages and the securities they spawned. The Republican congress specifically prohibited regulation of these in a middle of the night passage at the end of 2000. The reason all of these insane levels of buy outs are being orchestrated is the government can't allow a bankruptcy hearing where the value of credit default swaps would have to be publically determined. So, for example, AIG had heavily gone into the credit default swap business, and when securities became worthless because the mortgages they were underwriting were in default, AIG was suddenly on tap to pay back everything these investors were losing. But there was no way they could cover that, so the swaps really weren't worth that much. That's because there are some $70 trillion (not a typo) worth of these in existence, more than the value of every asset in the US combined. If someone goes into bankruptcy court hearings and says swaps previously evaluated at $0.85 on the dollar are worth $0.07 on the dollar, the US economy effectively ceased to exist. Unfortunately, more foreclosures mean more of these get called in...

So, this is why Washington is suddenly panicked.

Herb York said:

http://www.youtube.com/watch?v=3QBRIsCkGQ0