Herbert M. Moses
Posted on 09/30/2008 12:46:13 PM PDT by Fred
1. This is the largest expansion of government in the history of the world.
2. When the surgeon screws up a procedure and you sue for malpractice, who do you hire for the next surgery to repair the damage? The "oversight board" that the bill purported to create consisted of the exact same people who let this happen in the first place.
3. We are willing to take a short term hit in order to prevent the next trillion dollar bail out, and the next, and so on, because we don't believe either Wall Street or the government should be allowed to use our tax dollars to bail them out.
We disapprove of the mindset: "We don't want to suffer the negative consequences of our actions, so we are going to use the police power of the government to shield us."
4. While the Democratic chairman of the senate banking committee Chris Dodd and Democratic senator Barack Obama were recieving huge payouts from Fannie Mae and Freddie Mac, Republicans had been warning about this crisis and predicting that this would happen for years. Republican senator John McCain tried to create regulatory legislation in 2005 for Fannie Mae and Freddie Mac in order to help prevent this very crisis. His legislation was defeated along a party-line vote by the Democrats.
5. We are not convinced this is necessary:
Don't you think that there's an imminent crisis here, that if they were to wait, there could be really drastic results?
Newt Gingrich: "To be honest, I don't know. Secretary Paulson has been consistently wrong for a year-and-a-half. He told us for a year-and-a-half this wasn't a dire crisis; this wasn't going to happen. So the very people who told us for a long time not to worry about it are [panicked]."
"I think it is going to be a nightmare to implement," he said. "I think it is going to be filled with corruption, inefficiencies and bureaucracy. And I think two years from now it's going to be seen as a major impediment to the economy recovering."
"In a strange way, this reminds me of the Iraq debate in reverse: We’re faced with what may or may not be a looming threat of mass destruction, except this time conservatives are willing to chance it rather than take costly, aggressive preemptive action. Maybe they’re right; as I say, my ignorance on this leaves me unable to judge." (Hot Air Blog)
A very tight credit market will certainly not 'crash' our economy. People will get by without getting loans quite as easily as today. So, maybe it wouldn't be bad to take a hit in the head with a two-by-four, because it really isn't right to be relying so heavily on debt in the first place, and perhaps this is an opportunity for the market to correct that behavior.
6. We have alternatives:
"We couldn't find a single banker in support of this bill. The bankers we talked to said if we marked assets to par (like we have for the last 200+ years) instead of 'mark to market' (introduced in the last 10 years) none of this mess would exist." - John Linder (who I am happy to say is the House representative from my district).
While coming out against the bailout plan, Newt Gingrich forcefully rejected the contention that he favors doing nothing and laid out a conservative alternative:
Gingrich's four-point plan includes: (1) suspending immediately mark to market provisions (the accounting practice of valuing a financial position in an investment at its current market price) in the hopes of stopping the downward spiral in asset values and eventually replacing it with a three year rolling average; (2) repealing immediately Sarbanes-Oxley, the 2002 accounting law Gingrich described as "an enormous drag on small business"; (3) setting the capital gains tax rate at zero "matching the Chinese and Singapore" (to encourage private capital to flood into the market picking up properties without the taxpayers being at risk); and (4) passing an "extraordinarily powerful" energy bill ("to return $500 billion a year to the American economy that are currently going overseas").
7. We are led to believe that buying these bad mortgages could actually pay off for the tax payers. If that is a legitimate case, why aren't they being purchased by any private institution?
"I never believed we would recover any of the money used to buy these bad mortgages" - Rep. John Linder
8. The decline in the market yesterday did not even rank in the top 10 worst days by percentage, and recovered neary half of its losses by one-thirty this afternoon. The free market allows failure to fail. To disrupt that process is not correcting the market, but damaging it.
9. George Bush has a long history as a proven fiscal socialist. We really, really don't care what he thinks.
10. The representatives were simply responding to their constituents. The majority of the people in this country do not want the government to bail these institutions out. (I personally called both my senators and my house representative and told them all that I would not vote for them if they voted for a bail out. I encourage everybody else to do the same!)
I’ve got one reason. I was responsible and lived within my means. Stealing from me to pay for someone elses stupidity and lack of ethics is wrong.
Too bad the GOP doesn't have the stomach to.
McCain needs to grow some balls and take a stand against Bush, Paulson, 0bama, and Pelosi.
And Minority Leader Boner needs to step down after his vote of no confidence yesterday to make way for Mike Pence.
Herbert M. Moses
Lots of emotion, hyperbole and anecdotes in the list.
Either with a bill or no bill, the taxpayers are on the hook for this. The banking system is intertwined with the government (treasury prints $$ and Fed lends to banks) and we already insure the banking system through FDIC and SIPC.
The choice is between doing this now, buy $700 billion worth of bonds that we might make a return on. Or do nothing now, let FDIC and SIPC deal with each bank that rolls over. The chaos that could occur in the latter option makes the risk there dramatically more than the first option.
After we get another round of bank failures and the American public screams for regulation to protect them from greedy Wall St., I’m frightened to imagine the new bill we’ll get from President Obama and Speaker Pelosi.
Failure to act effectively in 1929 led to the New Deal, the rise of socialism, communism, and fascism as half the world gave up on capitalism.
Poor choice of words. ;-)
Mark
Eeewwwwww! Avoid visualizing that at all costs.
I REALLY like statement number 9!
Peter Schiff on Glenn Beck: "This is Not a Textbook, This is Real"
Please check my freeper page. Or just read all my posts Because I work very hard on them. Actually do lots of research to find that information.
And I'm a disabled person that survived a near fatal stroke five years ago. I was paralyzed when I was admitted to the hospital and was in intensive care for a week. Doctors tell me my recovery is a true miracle. And I believe that I was saved for a larger purpose.
McCain's ego will prevent him from making the proper decision for no bailout and admit other corrections will do it. Step one dissolve Fannneeee and Freddddeee.
Step one is correct the regulatory problems that have created the crisis.
End Mark to Market and go back to Mark to Par. Rescind Sarbanes-Oxley. Make more money available to banks. Tell the market, “sorry no government bailout, you’re going to have to sort this out on your own,” and suddenly they will, instead of staying in a holding pattern while they wait for free money from the government.
Just posting to change my tagline to the one I just stole from you. You should be flattered... :-)
I think I stole mine from Plugs Biden. LOL
Read Dave Ramsey’s Plan.
I would add one more provision - eliminate taxes and penalties for premature withdrawal of 401k plans for the purpose of either paying off/down one's own mortgage, or purchasing a foreclosed property.
Prepare to KILL bullsheet bailout II.
Once we open the Pandora Bailout Box, it will be bailout after bailout after bailout, until it time to bailout US, then we will be told there is no more money.
It would work. The rich will bail out the poor under this plan, but; the poor get the benefits.
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