Personally, i was against the original $700 billion bailout, then when it happened, i was like "OK i will let this one slide".
But then like, the big cheese goes all Sovi on us and is like "Let's bail out other big companies". So then i started to get pisses.
Then they bailed out the auto companies, and now i am practically S***ing myself over it.
I don't think this is going to work, you can't print money out of nowhere and expect it to solve you're problems. We are completing ditching the gold value system, which is really the only way it works.
What do you think, re we just screwing ourselves over more with all these bailouts?
They didnt print money, they used the $ from the federal reserve
after 1971, the promise on the dollar bills, Backed by the Federal reserve, was taken off all the bills. more money has been printed in the United States than we have gold for in the federal reserve. the dollar is losing its value. (i'll try to find the link to this story about the bills)
i think the bailout is pointless. they're bailing out businesses and just creating a bigger national debt... then again you could always say, we already have trillions of dollars in debt! what's a couple million more?
before i start, let me correct some mistakes. The government isn't making money out of nowhere, and they aren't borrowing it from other countries. If we borrow it from anybody it is from ourselves, through money bonds mutual funds and what not. The money that they are giving them is just a debt to the nation that must be payed by all of the tax payers in the united states. But here is my opinion: i think that bailing out these companies is a must. But the way we are going about it is a joke. We are giving our tax paying dollars to companies that lost our trust in the first place. These companies are paying their CEO's 100 million dollar yearly salaries. And the auto industry came to their hearing at congress in a private jet. And when they were asked if they would take a regular plane if they received this bailout they refused. They are spoiled and greedy, and they have every right. these guys worked their tails off to become some of the wealthiest people in the world. But when they mess up i say, let them rot, it's the true American way. But i have a proposal, lets look at all the loans and mortgages that are going bad. both affecting the automotive industry and housing, even insurance. I say we pass a bill that does not give anyone money, but instead takes a percentage,if not more, of the interest rates off of these loans. This decrease in the interest rate would give those citizens who struggle so hard a chance to get back on their feet. And for those that are not struggling, they will have a bit more money in their pocket and be able to throw it back in to the economy. This should steady out the economy and save the industries at the same time. I don't know about the rest of you, but i don't like watching my country go down the drain. We need to see past the politics and pass a real bill, and not tag a bunch of extra bill on to the back of it like congress does best.
these bailouts are being put on the backs of the middle class and poor to help the rich that ran these companies into the ground. The bailouts are printing money that america doesn't have and the short term effect won't be useful because when you print money that the government doesn't have you get cataclysmic results for the economy. I say throw the CEO's out. Make the companies work harder, stop giving loans to people who don't need them and stop making citizens work harder to help the people who ruined this country make more.
All the bailouts are, in definition, anti-capitalist. When a small buisness goes under, who bails them out? No one.
America isn't a pure capitalist economy. In any case when before the crisis govt bailouts were pretty rare. It is only in extraordinary circumstances such as these that bailouts are used. I am not saying I am all for them just that just because the gvt uses them doesnt mean they are an anti capitalist govt.
I say throw the CEO's out. Make the companies work harder, stop giving loans to people who don't need them and stop making citizens work harder to help the people who ruined this country make more.
ichigo i understand where you are coming from. But how do you plan to make the companies work harder? put them behind a whip? and the reason we got into this mess was not because they gave loans to people who didn't need them. it was because they screwed over the people who really did need them, since they where low on money. They put out things like adjustable mortgage loans. which have a really low interest rate, making them very appealing to the unsuspecting citizen. But about a year or 2 into the 15 or 30 year mortgage, they shoot the interest rate up. These people had no choice but to foreclose their homes to these companies. But when you foreclose your house not only are you losing money, but the industries are to. especially when the housing market is really low and the companies have to auction the house off, selling it for less than half of what it was worth.
ichigo666, fire the CEOs of these companies does almost nothing. Why? Who's going to run the company when the current CEO is fired. Another CEO is just going to come in. And what do you mean by making the companies "work harder" blissinpergatory is kind of right. This whole economic situation started with mortgage forclosures, but because of the sub-prime lender market. As houses started to be forclosed, neighborhoods became devalued, and soon enough people owed more than their house was worth. It caused this crazy downward spiral.
Bank Bailout = Good, I liked it, It saved America, technically, we needed it, and they were stupid. The thing is is that part of the economy is in their hands, and they're sucking.
Auto Industry = Let it Phail. Just because someone has a job doesn't mean the job is making profit, Buddi, all it means is he's working and some rich fat man is deciding to pay him with what he's got. If the fat man runs out, then the job is virtally useless?
Armed_Blade, AIG Bailout = GOOD! AIG own, controls, or manages more than 1 TRILLION dollars. That was more than the Bank Bailout. If AIG were to fail, then the bank bailout would have been a pebble in the ocean with respect to its purpose.
crazyjaz and blissing what i meant by working harder was that the companies(car companies espeacially) need to try and keep up with the designs. Japan has slowly been leading the auto industry with their technological advancements. If we don't work harder and try to keep up we'll quickly fall behind. And as far as ceo's i meant that we should get rid of the current ones because they run the companies into the ground and then get their bonuses which is more then their salary which is also a lot. and i know what armed blade is getting at. I think he means it's bad because after the bailout they were at a lunch spending the bailout money apparently.
But the auto industry keeping up with technology is not why we are crashing. They don't even have the money to spend on the advances of technology now. Their business went down because credit is going down the drain and without credit it is hard to buy a car, and not to mention people are reluctant to buy anything after seeing all those companies go under. i get where you are going with that ichigo but it is not just so simple to make everyone work harder, regulating the way that a company must run their business is far worse that giving them money in my opinion. There are enough regulations as it is. But telling a company how to run their company is not for a capitalist government to do. and In those bills, there is fine print saying that these companies must cut the ceo's salaries and bonuses. So some of that i actually being done with the bailouts, we are not just handing them free money for nothing, as tax paying citizens we own these companies.
