The Bail Out, plain and simple (loans, insurance, free market, mortgage)

[dugdogmaster]

In lehman's terms. Ha! Get it?

The Dem version of this bill is the Bush, Paulson, Bernanke version, with some amendments, putting the tax payer on the hook, turning us towards socialism.

The Rep version is putting Wall St. on the hook, making them bail themselves out, with loans to be paid back, keeping it a free market.

Of course, with either plan, there will now be plenty of oversight and transparency.

Now, which do you all agree with?
I for one am for a bail out, but I agree with the Reps solution

[StoneOne]

Originally Posted by dugdogmaster

In lehman's terms. Ha! Get it?

The Dem version of this bill is the Bush, Paulson, Bernanke version, with some amendments, putting the tax payer on the hook, turning us towards socialism.

The Rep version is putting Wall St. on the hook, making them bail themselves out, with loans to be paid back, keeping it a free market.

Of course, with either plan, there will now be plenty of oversight and transparency.

Now, which do you all agree with?
I for one am for a bail out, but I agree with the Reps solution

I haven't looked at the proposals that closely, although if it's essentially the way you describe, the Republican solution is far better for the longer term. There is no moral hazard created by easing tax laws. Only good things can come from that.

[jimhcom]

Niether, No Bail Out! Write your representatives and tell them not just no, HELL NO!

[dugdogmaster]

Here is the new Republican alternative

Congress.org

House Republicans have offered an alternative plan to the Paulson bailout.

The alternate plan as it stood on Thursday follow:

Rather than providing taxpayer funded purchases of frozen mortgage assets, we should adopt a mortgage insurance approach to solve the problem.

Currently the federal government insures approximately half of all mortgage backed securities. (MBS) We can insure the rest of current outstanding MBS; however, rather than taxpayers funding insurance, the holders of these assets should pay for it. Treasury Department can design a system to charge premiums to the holders of MBS to fully finance this insurance.

[StillwaterTownie]

Explain the wisdom of the FED loaning our tax money to firms who are having trouble because they have too many bad mortgages. At first thought it seems complete financial nonsense.

[dugdogmaster]

Originally Posted by StillwaterTownie

Explain the wisdom of the FED loaning our tax money to firms who are having trouble because they have too many bad mortgages. At first thought it seems complete financial nonsense.

Is it not better than just out right giving it to them as in the original plan?

[SandyCo]

I'd like to keep a running tally, and actually track how many of these "loans" are paid in full! The American public in general has a very short attention span; something else will come up in the news, and then these loans will become handouts. Yeah, I'm skeptical!

[dugdogmaster]

Originally Posted by SandyCo

I'd like to keep a running tally, and actually track how many of these "loans" are paid in full! The American public in general has a very short attention span; something else will come up in the news, and then these loans will become handouts. Yeah, I'm skeptical!

As am I of that

[jaguar5822]

I don't think they shoudl have a bailout, but at the same time I'm in my early 20's with plenty of time left to work towards my retirement. But on the other hand, if you are near retirement and had all of your money in stocks you were wrong to do so.

[abasicservice]

Contact your Congressman and Senator. Advise them of what you expect from government.
We do not expect Socialism. We expect and want to see Free Markets. Let the Free Market system work. No bail out now or ever.

Ask them why we do not see criminal charges against the fraudulent managers of Fannie Mae and Freddie Mac. What about the oversight responsibility and fraud attributed to the Democrats?


http://www.house.gov/
http://www.senate.gov/


"We are now in the golden age of thieves. And where I come from we put thieves in jail, we don't bail them out." — Rep. Pete Visclosky, Democrat.