Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Wall Street is Main Street
Pittsburgh Tribune Review ^ | September 30, 2008 | Salena Zito

Posted on 09/30/2008 1:18:37 PM PDT by Salena Zito

Not everyone gets the Wall Street-Main Street connection.

But they should, because both streets intersect on every block in America.

“In the sense that if the credit market dries up on Wall Street, capital will be unavailable on Main Street,” said University of Arizona political science professor Robert Maranto. “So no car loans, house loans, business loans and the like.”

In the short run, Maranto explains, there is no reason to panic, but over two years it would lead to higher unemployment. Maranto also reminds that most of Middle America's savings are plowed into the stock markets, “so if the market loses value we all take a hit.”

University of Virginia political science professor Larry Sabato said he is not surprised the House of Representatives defeated the bailout bill Monday.

(Excerpt) Read more at pittsburghlive.com ...


TOPICS: Business/Economy; Editorial; Politics/Elections
KEYWORDS: 110th; 2008; acorn; bailout; bush; congress; corporatewelfare; democrats; economy; election; elections; fanniemae; financialcrisis; house; mainstreet; mccain; obama; palin; panic; paulson; pelosi; talkradio; wallstreet; zito
Navigation: use the links below to view more comments.
first 1-2021-37 next last

1 posted on 09/30/2008 1:18:38 PM PDT by Salena Zito
[ Post Reply | Private Reply | View Replies]

To: Salena Zito

I don’t understand this argument....they are saying that its more beneficial to artifically hold up the market rather than to let it naturally contract, right? So, can someone please explain how manipulating the natural course of things is going help us? If we create jobs and loans that shouldn’t be there, how far are we setting ourselves up to fall then?


2 posted on 09/30/2008 1:22:14 PM PDT by ljco (I think the best possible social program is a job. - The Gipper)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salena Zito

So then why not send the BAILOUT directly to Main St.? It’s all connected right?


3 posted on 09/30/2008 1:22:27 PM PDT by swain_forkbeard (Rationality may not be sufficient, but it is necessary.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salena Zito

>>“So no car loans, house loans, business loans and the like.”

We’ll see. That sounds like extortion to me.

Maybe credit should be returned to local communities and the banks that represent them - instead of credit being managed by criminal extortionists who are trying to run a protection racket by holding a match to the economy they soaked with their CDO gasoline.


4 posted on 09/30/2008 1:23:31 PM PDT by LomanBill (A bird flies because the right wing opposes the left.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: ljco

no. read the whole thing. they are saying that americans sent a message to congress.


5 posted on 09/30/2008 1:26:05 PM PDT by Salena Zito (http://www.pittsburghlive.com/x/pittsburghtrib/blogs/fortyfourthestate/)
[ Post Reply | Private Reply | To 2 | View Replies]

To: ljco

>>I don’t understand this argument..

It’s simple and can be condensed into two words:

“Protection Racket.”


6 posted on 09/30/2008 1:26:13 PM PDT by LomanBill (A bird flies because the right wing opposes the left.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: Salena Zito

So we respond to this extortion by establishing the precedent that whenever Wall Street gets in trouble, it can hit up the taxpayer for help. Yeah, that’s going to provide an incentive to the financial services industry to make prudent business and investing decisions.

This matter only became a national crisis of the first order when the Treasury Secretary’s old employer faced a significant loss.


7 posted on 09/30/2008 1:29:43 PM PDT by Harry Wurzbach (Rep. Thaddeus McCotter is my hero.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: LomanBill

Campaign slogan:
It’s the corruption, Stupid!


8 posted on 09/30/2008 1:29:55 PM PDT by griswold3
[ Post Reply | Private Reply | To 6 | View Replies]

To: Salena Zito
“So no car loans, house loans, business loans and the like.”

This is a good thing.

9 posted on 09/30/2008 1:30:35 PM PDT by Rudder
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salena Zito
Moonbats are liberal by definition. The other day I saw some DUmmies use the term Conservative Moonbat. Moonbats are liberals and Wall Street is Wall Street.
10 posted on 09/30/2008 1:31:24 PM PDT by Mark was here (The earth is bipolar.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: LomanBill
We’ll see. That sounds like extortion to me.

Not extortion at all. It is just the way capital markets work.

If we do not recapitalize the markets soon, credit will dry up. If that happens, the collapse of the entire economy will follow shortly behind.

We are in for a very rough ride regardless who wins in November, although Obama's tax increases would undoubtedly make a very bad situation infinitely worse. Increasing the capital gains tax as he proposes to do would take even more capital out of the market and would unnecessarily prolong the recession / depression we would find ourselves in.

The American people would have their "change" though, and they would finally be rid of the "evil" George Bush, so I am sure they will all be deliriously happy if that is the way things play out.

11 posted on 09/30/2008 1:33:40 PM PDT by comebacknewt
[ Post Reply | Private Reply | To 4 | View Replies]

To: Salena Zito

I was talking with an analyst at one of the large banks who kept insisting the bailout is necessary. When I asked for a breakdown of toxic assets into those backed by assets (i.e. real mortgages), and those related to CDs and CDOs, his response was... well you did your homework. The response floored me. It was so obvious that they believe main street has no clue whatsoever.


12 posted on 09/30/2008 1:34:34 PM PDT by tarpit (Troubled Asset Relief Program Indentures Taxpayers)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salena Zito
McCain Ad Rein - Who is to Blame on Fannie/Freddie
13 posted on 09/30/2008 1:35:58 PM PDT by Fred (The Democrat Party is the Nadir of Nihilism)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salena Zito
Not everyone gets the Wall Street-Main Street connection.

i think we rubes get that - and we are saying we ain't bailing out either - next threat please

14 posted on 09/30/2008 1:38:44 PM PDT by sloop (pfc in the quiet civil war)
[ Post Reply | Private Reply | To 1 | View Replies]

To: comebacknewt
[If we do not recapitalize the markets soon, credit will dry up. If that happens, the collapse of the entire economy will follow shortly behind.]
 
Yep, extortion.  Pay now or you're dooooomed.
 
Maybe it was a bad idea to build the house on CDO sand.... just a thought.
 
Folks did just fine before being made addicted to "credit" and "debt".  Time for the country to start living within its means again; and being responsible for the credit it gives and the debts it owes.  Locally responsible.

15 posted on 09/30/2008 1:42:18 PM PDT by LomanBill (A bird flies because the right wing opposes the left.)
[ Post Reply | Private Reply | To 11 | View Replies]

To: Salena Zito; xzins
“In the sense that if the credit market dries up on Wall Street, capital will be unavailable on Main Street,” said University of Arizona political science professor Robert Maranto. “So no car loans, house loans, business loans and the like.”

Bull.

Banks loan money.

That is what they do.

As long as there are banks, there will be loans. The interest rates may go up to cover bad debts and other risks, but if you want a new car you will be able to get a loan (provided you can prove you have the ability to make the payments).

16 posted on 09/30/2008 1:49:15 PM PDT by P-Marlowe (LPFOKETT GAHCOEEP-w/o*)
[ Post Reply | Private Reply | To 1 | View Replies]

To: sloop

read the whole thing, that is the point made by both prof’s


17 posted on 09/30/2008 1:49:35 PM PDT by Salena Zito (http://www.pittsburghlive.com/x/pittsburghtrib/blogs/fortyfourthestate/)
[ Post Reply | Private Reply | To 14 | View Replies]

To: comebacknewt

Right now the demagogues are in charge.

Let’s punish the bad guys.

Unfortunately, we will be the ones punished.

But then, that’s a good thing right?

Insanity rules for now.


18 posted on 09/30/2008 1:50:56 PM PDT by Carley (she's all out of caribou.............but does have a bracelet!!!!)
[ Post Reply | Private Reply | To 11 | View Replies]

To: Salena Zito

This is Richard Mellon King or whatever his name trying to protect his own wealth.

Sorry Rich, but I don’t see my local business owners running around in lotuses buying $5,000 bottles of champagne at 25 years old on my main street. They all work too damned hard for their money for that crap.

I’ve spent time in Manhattan and the financial district, please to not insult my intelligence by telling me Wall Street is Main Street. I don’t see the farmers actually growing the crops your commodity brokers make millions off of driving their Lamborghinis to church on Sunday, or to the local watering hole after hard days work, or up to the weekend home in the Hamptons. You want to know where they excesses and corruption in the system is, it AIN’T main street.


19 posted on 09/30/2008 1:53:55 PM PDT by HamiltonJay
[ Post Reply | Private Reply | To 1 | View Replies]

To: tarpit
[The response floored me. It was so obvious that they believe main street has no clue whatsoever.]
 
Yep, and that's a belief founded within years of observing the suckers they got to "Sign here" on exploding mortgages; the same mortgages they now want to dump on all of us.    There's no remorse evident at all among these thieves.
 
Just as the scorpion stung the frog who was carrying it across the river, so these Con Artists do what they do - it's just their nature.
 
Dig around here on FR and you'll find posts by folks boasting of "taking advantage of stupid people".  Is it just a coincidence they're often the same ones who want that 700B bailout?
 
They stung the frog, so let them drown with it - 'cause this is America and we've got lots of  tadpoles.

20 posted on 09/30/2008 1:54:32 PM PDT by LomanBill (A bird flies because the right wing opposes the left.)
[ Post Reply | Private Reply | To 12 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-37 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson