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Old 09-25-2008, 04:25 PM
 
Location: Houston, TX
1,712 posts, read 4,043,374 times
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Do you realize that if we let wall street go down, we all go down with them? I don't like the bailout, but I think we need to do it to save the economy while protecting the taxpayers (which is exactly what the democrats are doing).
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Old 09-25-2008, 04:36 PM
 
Location: Hope, AR
1,505 posts, read 2,939,231 times
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How can you be sure it still won't go down? What if the bailout wasn't enough money, or isn't implemented correctly?

Quote:
Originally Posted by DCNative View Post
Do you realize that if we let wall street go down, we all go down with them? I don't like the bailout, but I think we need to do it to save the economy while protecting the taxpayers (which is exactly what the democrats are doing).
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Old 09-25-2008, 04:37 PM
 
Location: San Jose, CA
7,688 posts, read 27,421,833 times
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The sum total of credit derivatives is over $500 trillion, just a wee bit shy of the GDP of the entire world. There is no saving this system.
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Old 09-25-2008, 04:44 PM
 
Location: Houston, TX
1,712 posts, read 4,043,374 times
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Quote:
Originally Posted by Lulu101 View Post
How can you be sure it still won't go down? What if the bailout wasn't enough money, or isn't implemented correctly?
We don't know.

If the bailout doesn't work, then that would be bad. I still think its worth a try for two reasons.

1. We need to shake things up and this is an opportunity to put regulations on the lending industry so that credit won't be as easy and the lenders must lend responsibly. No more resetting ARM ticking time bombs.

2. The government buying troubled mortgage assets would free up the banks to lend responsibly (under the new regulations). No one else in our country wants these assets. Homeowners don't want them. Banks don't want them. However, foreign interests (think Asia and Middle East) with plenty of money in currencies gaining strength against the US dollar would love to buy these assets. They want lots of pieces of our American soil/real estate at a very cheap price. And if they get it, that would not be good for us, trust me. It would become a national security issue. I rather have our own government (and taxpayers) buy up these assets before the banks sell them to foreign interests.
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Old 09-25-2008, 04:46 PM
 
Location: Hope, AR
1,505 posts, read 2,939,231 times
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I'm not 100% against it--they had two bad options and had to choose one of them. But I wouldn't be sanguine about it.

Quote:
Originally Posted by DCNative View Post
We don't know.

If the bailout doesn't work, then that would be bad. I still think its worth a try for two reasons.

1. We need to shake things up and this is an opportunity to put regulations on the lending industry so that credit won't be as easy and the lenders must lend responsibly. No more resetting ARM ticking time bombs.

2. The government buying troubled mortgage assets would free up the banks to lend responsibly (under the new regulations). No one else in our country wants these assets. Homeowners don't want them. Banks don't want them. However, foreign interests (think Asia and Middle East) with plenty of money in currencies gaining strength against the US dollar would love to buy these assets. They want lots of pieces of our American soil/real estate at a very cheap price. And if they get it, that would not be good for us, trust me. It would become a national security issue. I rather have our own government (and taxpayers) buy up these assets before the banks sell them to foreign interests.
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Old 09-25-2008, 04:49 PM
 
76 posts, read 220,002 times
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Quote:
Originally Posted by DCNative View Post
Do you realize that if we let wall street go down, we all go down with them? I don't like the bailout, but I think we need to do it to save the economy while protecting the taxpayers (which is exactly what the democrats are doing).
How exactly is this going to save the taxpayer, have they given details yet as to what this plan involves that they agreed upon? Even if it shelters the "taxpayers" we're still going to get screwed with inflation.
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Old 09-25-2008, 04:50 PM
 
Location: Great State of Texas
86,067 posts, read 78,718,555 times
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Quote:
Originally Posted by DCNative View Post
We don't know.

If the bailout doesn't work, then that would be bad. I still think its worth a try for two reasons.

1. We need to shake things up and this is an opportunity to put regulations on the lending industry so that credit won't be as easy and the lenders must lend responsibly. No more resetting ARM ticking time bombs.

2. The government buying troubled mortgage assets would free up the banks to lend responsibly (under the new regulations). No one else in our country wants these assets. Homeowners don't want them. Banks don't want them. However, foreign interests (think Asia and Middle East) with plenty of money in currencies gaining strength against the US dollar would love to buy these assets. They want lots of pieces of our American soil/real estate at a very cheap price. And if they get it, that would not be good for us, trust me. It would become a national security issue. I rather have our own government (and taxpayers) buy up these assets before the banks sell them to foreign interests.
What new regulations ? There are no new regulations with this bailout bill.
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Old 09-25-2008, 04:58 PM
 
Location: Houston, TX
1,712 posts, read 4,043,374 times
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There'll definitely be regulatory oversight on the financial sector. But I don't know what the specifics are either. Kinda to early to tell.

Quote:
Originally Posted by HappyTexan View Post
What new regulations ? There are no new regulations with this bailout bill.
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Old 09-25-2008, 05:03 PM
 
Location: Seattle, WA
209 posts, read 562,536 times
Reputation: 87
Quote:
Originally Posted by DCNative View Post
Do you realize that if we let wall street go down, we all go down with them? I don't like the bailout, but I think we need to do it to save the economy while protecting the taxpayers (which is exactly what the democrats are doing).
People don't get that we have had bear markets and bank failures for 4,000 plus years and it is not going to stop now. Companies that make bad decisions that threaten their existence need to FAIL to teach everyone the correct lesson. Instead people on this board seem to advocate giving these companies our money via corporate welfare. If we have all our major banks fail do you think other banks will not open and have learned an important lesson so they don't have this happen again? EVERYONE TRY AND READ SOME FINANCIAL HISTORY AND QUITE GIVING IGNORANT COMMENTS TO SUPPORT A FLAWED SYSTEM. This of course is not towards people who support letting the free market do what it does best, set proper price levels and expunge excesses. If you only want things to go up and never down then you should move to a socialist country were they take care of you and tax you so everything is always ok. The is America, land of the hardworking and a place where you can build something from nothing and not have it taken from you unless you break the laws.
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Old 09-25-2008, 05:03 PM
 
Location: Houston, TX
1,712 posts, read 4,043,374 times
Reputation: 783
By selling the assets over time during the economy's recovery, and profiting on them. If this works, taxes won't be raised too much on the middle class in subsequent years.

Yes, we'll get screwed on inflation regardless, but we'll still keep our jobs and be able to buy homes if we have good credit.

Without the bailout, banks won't lend to the companies we work at, and that may mean job losses. Not trying to scare yall, but I'm trying to keep a cool head and be realistic.

Follow the money...


Quote:
Originally Posted by reverse View Post
How exactly is this going to save the taxpayer, have they given details yet as to what this plan involves that they agreed upon? Even if it shelters the "taxpayers" we're still going to get screwed with inflation.
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