Breaking News from the House Finance Committee (liberals, Dodd, Obama)

[paperhouse]

Originally Posted by MovingForward

But how do you know? Have you seen the plan? Because I haven't seen it.

The plan I've seen is the one McCain hadn't read after 4 days of it being released. I'm sure there's some oversight now. I'm sure there's some protection for the homeowners. My point is that you can't get out of debt by creating more debt. Plain and simple. Ask any accountant. This money has to come from somewhere. We can't pay our bills now.

[SGrey]

What Roubini says on the issue http://www.rgemonitor.com/blog/roubini

Even if the Treasury TARP plan is implemented fairly and efficiently the US will not avoid a severe U-shaped18-month recession and a severe financial and banking crisis: the recession train has already left the station in Q1 and the financial/banking crisis will be severe regardless of what the Treasury and the Fed do from now on. What a proper rescue plan can do is to avoid having the US experience a multi-year L-shaped recession and extreme financial crisis like the one that led to a decade long stagnation in Japan in the 1990s after the bursting of their real estate and equity bubbles.

I think we are going to have to do some sort of rescue. The risk by not doing anything is in incalculable at this point. All anyone can do is guess. Economists don't have a clue at this point whether they want to admit it or not.

[paperhouse]

Originally Posted by rightofcenter

I agree it's a bad bill, but I don't think it should be this bill or nothing. They should be able to come up with a package that encourages a market solution to this - incentives for investors to take over some of these bad mortgage securities.

If they do that, then I might change my mind. But really, this is Congress we're talking about. Let's just say I'm highly skeptical. Worse, they won't keep the public informed with all these closed door meetings. What are they hiding? Will they allow any public debate before they vote?

[WinterinAmerica]

Originally Posted by paperhouse

We can't bail our way out of an economic problem. It seems no one in Washington has ever studied economics.

Obviously neither have you.

In 1992 Sweden went through a very similar bailout due to the bursting of their own housing bubble. I suggest that you read Carter Doughterty's op-ed piece in the NYT's. In the end Sweden's government may have actually made money on the deal. Of course Sweden is one of those soooocialist commie pinko Euro states, but then again they have a higher standard of living based upon all indices than the US.

(PS-just in case you did take macro and micro... a little knowledge can be more dangerous than none at all.)

[big mean bear]

Democrats like to take money away from people who earned it and give it to people wo don't deserve it. They also have a clear record of relying on poor, uneducated people to get elected - union members, poor blacks, poor hispanics and poor immigrants all vote lock step for the Democrats. Good job on fighting the Capital gains tax. I hate that tax.

[rightofcenter]

One thing McCain is right about - Washington is broken. He's not the one to fix it, but if they don't come together with a worthwhile solution, we will need a total cleansing of that place.

[McGowdog]

Originally Posted by WinterinAmerica

"According to one GOP lawmaker, some House Republicans are saying privately that they’d rather “let the markets crash” than sign on to a massive bailout.

“For the sake of the altar of the free market system, do you accept a Great Depression?” the member asked."

Politico

Grapes of Wrath tomorrow morning. The Stocks shall crash by the time I fire up the computer. How low will it go? 7800?

This is not good.

[MovingForward]

Originally Posted by WinterinAmerica

Obviously neither have you.

In 1992 Sweden went through a very similar bailout due to the bursting of their own housing bubble. I suggest that you read Carter Doughterty's op-ed piece in the NYT's. In the end Sweden's government may have actually made money on the deal. Of course Sweden is one of those soooocialist commie pinko Euro states, but then again they have a higher standard of living based upon all indices that the US.

(PS-just in case you did take macro and micro... a little knowledge can be more dangerous than none at all.)

Interesting. Thank you.

[rightofcenter]

Originally Posted by big mean bear

Democrats like to take money away from people who earned it and give it to people wo don't deserve it. They also have a clear record of relying on poor, uneducated people to get elected - union members, poor blacks, poor hispanics and poor immigrants all vote lock step for the Democrats. Good job on fighting the Capital gains tax. I hate that tax.

What the heck are you talking about - you realize that they are working on a Plan from Bush (Republican) and his deputies.

[big mean bear]

Originally Posted by rightofcenter

What the heck are you talking about - you realize that they are working on a Plan from Bush (Republican) and his deputies.

Yea but the Dems are "adding" a bunch of fluff to the original plan. Such as $52 billion in direct assistance to people who have bad credit or are at risk for forclosure!!! They are incentivizing irresponsible, greedy behavior! That means irresponsible people who bought homes they couldn't afford are being assisted by the gov't ON TOP OF what Bush proposed...

The Dems are trying to SNEAK a bunch of entitlement programs into this bill that way they turn into LAW!!!!!!!!!!!!!!