A new bailout plan.

[DarkWing6]

Holy crap Darin....we actually agree on something.


You made your bed, now sleep in it.

[Kruzen]

Oh yea that's a real good idea. You realize that capitalism would fail if there was no bailout - ie: every single market in the world would collapse.

Thats the beauty of the free market. up AND down, everything balances itself out.

[rwh11385]

It's a terrible idea. These companies fucked themselves over and we should not have to bail them out. I realize that their collapse will have an effect on the market, but sometimes that's just part of life. I don't want my $700B in tax dollars bailing out Wall Street firms that fucked up. Wheres the $700B for all the homeowners facing foreclosure? Oh, right, this is supposed to be a free market and not a welfare state where people have to take responsibility for their poor decisions

Irony. It's the subprime po folk who should not have gotten mortgages who are causing all this trouble.

But hey, Obama wants to give them $1000+ if they vote for him...

[Farbin Kaiber]

So if I vote for Obama, the US's inexhaustible banks will give me $1000??? Can I vote now? I want change, and a stack of binjaminz.

[CorvallisBMW]

Irony. It's the subprime po folk who should not have gotten mortgages who are causing all this trouble.

But hey, Obama wants to give them $1000+ if they vote for him...

Oh really? It's their fault for taking out mortgages that were offered, even pushed on to them? It's their fault for wanting to own a home and take part in the American Dream?

Sorry but the fault does not lie completely with them as you so think. The firms that held this debt and shuffled it around and made all those poor decisions are just as much at fault, if not more so, than the homeowners.

Shut up Heeter.

[Aptyp]

I'll sell my vote for a grand, too.


And, RWH, your logic flawed. Banks take risks and loan money, with an expectation of turning profit. Banks gave mortgages that were destined to fail, and failed. Now banks are asking people to throw them a bone. How many people, who lost their mortgage, got to keep their home? Exactly. I need a bail out too, college tuition is getting tough to pay.

[rwh11385]

I'll sell my vote for a grand, too.


And, RWH, your logic flawed. Banks take risks and loan money, with an expectation of turning profit. Banks gave mortgages that were destined to fail, and failed. Now banks are asking people to throw them a bone. How many people, who lost their mortgage, got to keep their home? Exactly. I need a bail out too, college tuition is getting tough to pay.

You are in college? Shocking. I always thought you were a high school drop out based on your level of intellect.

Corvallis,

Both are to blame but if Obama fans thought before they bought more than they could afford, we wouldn't be in this situation. I don't think the banks ever imagined they could have been that bad with money, but when you assume, you screw up in business.

[CorvallisBMW]

You are in college? Shocking. I always thought you were a high school drop out based on your level of intellect.

Corvallis Meth Addict,

Both are to blame but if Obama fans thought before they bought more than they could afford, we wouldn't be in this situation. I don't think the banks ever imagined they could have been that bad with money, but when you assume, you fuck up business.

You're in college too you fucking retard. You boasted about being in the student section when Oregon kicked your ass 2 weeks ago.

And I'm a meth addict? Where's your evidence? Or is that just another one of your personal insults you use to cover up your complete lack of knowledge and comprehension about the topic? And you're saying everyone who is facing foreclosure is automatically voting for Obama? Got any evidence or is that another right-wing slander of the middle class?. If the banks hadn't fucked up we wouldn't be in this position either. You can't blame all of this on poor folks and minorities you fucking bigot.

[MattE30]

I'll sell my vote for a grand, too.


And, RWH, your logic flawed. Banks take risks and loan money, with an expectation of turning profit. Banks gave mortgages that were destined to fail, and failed. Now banks are asking people to throw them a bone. How many people, who lost their mortgage, got to keep their home? Exactly. I need a bail out too, college tuition is getting tough to pay.

And college will get harder to pay for if a bailout doesn't take place. It's the fundamental fact that America runs on credit. It's credit that funds the day to day operations for businesses, small and large, and it's the banks that extend this credit. With these worthless assets on their books, the banks are worried about their own supply of money, and hesitant to loan money to other businesses. Without credit, these businesses cannot function, and could cause a large loss in jobs, among other things. Not to mention the lack of money available for mortgages, car loans, college loans, etc...This isn't just about bailing out the greedy Wall Street executives.

And Heeter, you can't say that the "people who shouldn't be taking these loans" are entirely at fault. We all know that these lenders will do anything to make a buck...lie, manipulate, etc... The market may operate under the idea that perfect flow of information and knowledge exists among groups, but in reality, this flow will never exist. Those in power will always impinge on the ignorant.

[rwh11385]

You're in college too you fucking retard. You boasted about being in the student section when Oregon kicked your ass 2 weeks ago.

And I'm a meth addict? Where's your evidence? Or is that just another one of your personal insults you use to cover up your complete lack of knowledge and comprehension about the topic? And you're saying everyone who is facing foreclosure is automatically voting for Obama? Got any evidence or is that another right-wing slander of the middle class?. If the banks hadn't fucked up we wouldn't be in this position either. You can't blame all of this on poor folks and minorities you fucking bigot.

Dude, you're a n00b. I am not a student. You just have to have a student ID to get in.

You're so moronic I believe you have to be doing some drugs. If that is an incorrect assumption, please provide a reason why you are dumb.

Not everyone... but those who buying into his lofty verbiage about the difficulty of the economy are much more likely to be the ones facing foreclosure than those responsible with money, who live below their means, and are good with money.

I didn't say all the blame, but if the people didn't buy more than they could afford then we wouldn't have the banks losing money on their loans and people wanting the government to step in to pick up these instruments. It is the recent American (well, middle class) ideal to try to pose to make more money then they do and live above their means (negative savings rate anyone?).

Going for Obama for tax cuts to those who don't know how to spend wisely won't help teach them anything about responsibility and prolongs the attitude. The same goes for the banks of course, that if they make bad mistakes they should live with them. But oh well, people are fucking stupid in this country and can't handle the Dow Jones not going up every single day. I'm not for the "bailout" but I also don't think it's at all the same as spending $700B, it is "investing" it.

This original post talked about handing out money... which the bailout really isn't doing. It is trading money for instruments, which could eventually be worth the same, or more, or also less. Maybe Ben Bernanke knows best that (throwing laissez-faire out the window for intervening in the market) this will stabilize the situation... then maybe just give him a shot, I dunno. If he's right, then confidence should regain and it would be better for our dollar and economy. Then with confidence, then perhaps we will more along forward and those subprime accounts might be worth something. Who knows?

[rwh11385]

And Heeter, you can't say that the "people who shouldn't be taking these loans" are entirely at fault.

I said that as well, but if you consider how the impact of having too many Americans living with a negative savings rate and dramatically be affected by the global demand impact on prices for energy and food... it greatly complicates the situation.

If we were more like the Japanese (well maybe not that extreme), we would meet a challenge and deal with it, instead of freaking out and running around with our heads cut off, crying at what the television is saying or protesting against things that are in part the fault of those waving the signs.

If you have great credit, only spending 25% of your income on a mortgage, conservative in your spending and your choice of car, and put aside money for "oh shit" situations, you're much more prepared to survive in anything rather than living on the edge and assuming everything is going to stay the same and you'll stay above the red. The choice to go above someone's means, which is too overly popular in this nation, is much of the reason why people are freaking out and the economy may seem "rocky".

[rwh11385]

Can I blame the South?

http://www.nytimes.com/interactive/2007/11/03/weekinreview/20071103_SUBPRIME_GRAPHIC.html

[MattE30]

If you have great credit, only spending 25% of your income on a mortgage, conservative in your spending and your choice of car, and put aside money for "oh shit" situations, you're much more prepared to survive in anything rather than living on the edge and assuming everything is going to stay the same and you'll stay above the red. The choice to go above someone's means, which is too overly popular in this nation, is much of the reason why people are freaking out and the economy may seem "rocky".

Yep, that's a fact. However, the abundance of consumer credit and the means of which it is marketed doesn't help the situation. It is frustrating though, to pay for people's stupidity. It's like at my place of business, where the operators are living above their means, basing their spending on a continuous overtime check...it makes me want to puke.

[rwh11385]

Yup. I don't work with people like that but know some in the city... kids with 5 "project" cars, and habits of having to sell one off when an "unexpected" bill comes due. Working shitty jobs and spending every cent on something.

Maybe lenders being screwed on subprime will help knock some sense into both parties.

Not a huge deal for people with good credit though. Cheap mortgage rates are still there and easily accessible for those with excellent ratings.

[Jand3rson]

All I have to say is I am SO GLAD I didn't jump on on the "let's go buy a house as quick as we can with one of these fantastic adjustable rate mortgages" like so many other people my age did about a year or two ago.