Posted on 02/17/2011 6:31:39 AM PST by JudyM
It's a link to a video
(Excerpt) Read more at dailybail.com ...
National Treasure Alan Grayson (D-IVA) ping.
So that they can be thankful every day that Grayson is gone. I love it when he makes up numbers and expects the person to know what the hell he’s talking about.
The article I just posted should be mandatory reading it’s new and shows how obama’s backer lifelong democrat buddy Lloyd the Vampire pocketed $2.9 Billion.
I suppose it would be a waste of time to explain that the entire reason for stopping the collapse of AIG was so that they could pay their creditors.
OMG the Fed. shill is back to tell us how the crooks are not to blame. Anything you have to say has been a waste of time. You lie as proven and you just don’t seem to get it in your head that your continual stalking and harassment will do you no good.
This broad stonewalled him on completely legitimate questions. They where questions she either new he answer to or should have known the answer to. The fact is that the bureaucracy in this country is out of control. the bureaucrats answer to nobody and have absolutely no fear of retribution.
A wholesale elimination of a vast majority of government workers is long over due. An elimination of their unions, pensions, and top $ benefits should be done today if not sooner. They must be made to heal-to the will of the people and the oversight of our elected officials.
This woman should have bean relieved of her job at the hearing when she was unable or unwilling to answer legitimate oversight questions.
Worst part is The Federal Reserve isn't even a part of the government.
I hope my better understanding of the situation doesn’t make you cry.
Sure it is.
Let’s say I set up Duncan Waring’s Life Insurance Company and announce that my company will write a $1,000,000 on anyone for a premium of $100 per year.
Obviously, the company will sell a lot of policies, especially on really old, sick people.
Once the company has sold 10,000 policies, I’m a millionaire!
Then, “unexpectedly”, insured people start to die. Inconveniently, the company can’t afford to write many of those million-dollar checks and is faced with collapse.
Should the government prop my company up with a big bag of taxpayer money to prevent its collapse so it can pay its creditors?
State regulations mandate a certain level of reserves. One million in sales is not one million in profits. Sorry.
Should the government prop my company up with a big bag of taxpayer money to prevent its collapse so it can pay its creditors?
They would have shut you down before you could get big enough.
Then why didn’t “State regulations” shut-down AIG before its obligations exceeded its reserves, making it unable to pay its creditors?
It happened too fast.
making it unable to pay its creditors?
They can pay their creditors. They can't pay their creditors in a fire sale bank run. The equity in the firm is over $80 billion.
OK, so Waring Insurance has been operating in a reasonable and prudent manner for a period of a few years, and all-of-a-sudden CEO Waring decides he can get a really big bonus by increasing sales via the “$1,000,000 coverage for $100” program and puts $100 billion worth of policies in force before the “State Regulations” shut him down.
Do the taxpayers cover him? If they don’t there’s going to be a lot of really unhappy creditors.
Re: your source on AIG - their equity is $80 billion after receiving ~$150 billion from the US taxpayers.
Their liabilities are still ten times their equity.
How are they going to cover $770 billion in liabilities with $80 billion in equity?
That's why we have Bankruptcy Courts. And just kind of for the heck of it can you please point out to me exactly where in Article 1, Section 8 of the US Constitution 'bailing out' a private company with taxpayer money is authorized?
You do believe in the Constitution, don't you Todd?
Bla bla bla. Why don't you write a letter to Timmy Geithner and ask him?
Re: your source on AIG - their equity is $80 billion after receiving ~$150 billion from the US taxpayers.
Yes. And the equity would be $80 billion if they received zero. And the equity would be $80 billion if they received $1 trillion. Do you know how a balance sheet works?
Their liabilities are still ten times their equity.
And their assets are eleven times their equity.
How are they going to cover $770 billion in liabilities with $80 billion in equity?
They have to pay $770 billion today?
Let me explain something, when they received the money from the Treasury and the Fed, that increased their assets and their liabilities.
Why should I write a letter to Timmy Geithner? You seem to be quite happy to speak for him.
Let me speak for Arthur Andersen.....
Equity = Assets - Liabilities
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