How do you feel about the banks, (such as AIG) getting their bailout money, than taking a vacation. Of course this post seems one sided because that my opinion. If the government gave you money for your bills, would you take a vacation? Well just post your opinion I'm curious to see how everyone else feels.
I shocked they all got bonuses and stuff but their was a good reason for it they wre talking about on the BBC. Something about avoiding tax with lower wages I can't remember
(at least AIG withdrew their sponsorship of Manchester United lol)
Politicians like Obama complaining about it just highlights his impotence. They are nescessary evils. The sooner politicians fix the messs they created rather than condemning their actions the better. I don't advocate taxing the money away from them either, it will most likely tie them up in legal knots and is an abuse of the rule of law.
They don't have to tax it anymore; the execs who received the bonuses have agreed to give them back.
In addition to this, AIG claims that the bonuses were made due to a legal obligation to give employees bonuses. But $165 million? They're paying that to the guys who helped create this problem in the first place.
I actually was informed that it was mainly stupid people who caused it
people going out, building/buying new houses, than a year or so down the road, cant afford the mortgage and get a loan, thus they cant pay off the loan and the banks enter debt.
well the government should or could atleast help the bank BUT make sure the banks use it wisely......
The recessions before the creation of the Federal Reserve lasted no more than a year. Once the FR was created, most recessions lasted 5+ years. Let the free market run its course. Stop bailing out these companies.
The free market creates market faliures, ie, merit and demerit goods. Government intervention is nescessary and useful when implemented correctly. Plus, the world economy has changed drastically since the early 20th and 19th century. Recessions were short lived for a variety of re\\sons, most notably, the gaurantee of credit security.
