Bingo.
Paulson with our 700 billion is try to establish a market/floor for the crappy subprime loans in order to avoid the catostrophic trigger of credit default swaps bankrupting financial institutions world wide.
Unfortunately, many people (conservatives) don't understand the problem and blithely believe the markets will solve everything. That attitude did not work in 1929 and it likely won't work today.
True conservatives know their history. During the 20s the government inflated the currency by something like 2/3s...the bubble had to pop.
Then when it did, the socialists came up with the myth of “excess production” (nevermind that there were plenty of poor and hungry people, until everyone is a trillionaire how can you possibly claim overproduction?), and decided the solution was to throw money around left and right, while torching crops and slaughtering cows and chickens to INCREASE prices.
That’s how you turn a recession into a depression and then into a Great Depression. We haven’t even hit the triggers for a recession, but the socialists/community organizers want to freeze all mortgages, and if they can extend debt “forgiveness” to school & auto loans. Boy I wish I had a 500k mortgage I could never afford, and a fat monthly payment on a new Viper instead of a used car I bought for cash.
Inflation is theft from anyone who saves; a giant tax on anyone who doesn’t live indebted to the max. If we let them, they’ll expand this bailout to give trillions to anyone living above his means, paid for by every one of us who buy what we can afford, pay our bills each month, and have any savings whatsoever.
With the addition of credit cards, car loans and student loans the cost is doubled to 1.4 trillion. and the beat goes on.
KILL THE BULLSHEET BAILOUT
In 2002 we were down 36 percent AND we suffered a terrorist attack ON WALLSTREET.
Today we are down 24 percent. We are still stronger than we were after 9/11. We are still thousands of points higher than after 9/11.
This country has ridden through recessions many times, why should we lose our courage now, and surrender our freedom.
Wallstreet and a Recession are not worse than turning our country into a Socialist State.
Let this recession teach WALLSTREET a lesson with the best teacher =
.......... ................. ............ ..... PAIN.
The markets weren't allowed to work in 1929 (or before or after). Since we aren't allowed to have a 19th century style panic, our future is serious inflation or a Japan style on and off recession for a decade or two. I don't like any of those choices either, but those are the only choices.