HORROR MOVIE... Now playing at theaters everywhere in the USA. First it was 28 days. Now, its until "beyond the end of the year". Next year, it will be "another year"... Eventually the loans will be extended "in perpetuity"... never to be repaid and slyly monetized right under our noses. Once again, the US citizen takes it up the tailpipe in the form of inflation and currency debasement. Rated XXX.... Adults Only
Excellent Commentary, Gnome...... PRIVATIZE the gains...... SOCIALIZE the losses ........ Done deal..... Hey, at least Fuld and others get to keep their real funny money bonuses....and the US taxpayer is paying for it...... 1% of the population in the US controls 80% of the wealth....and the US Government.......what a combo !!!! It is happening right before your eyes and wallets......
This concept is becoming more mainstream IMHO, surprisingly. No question that it has been maintained in the blogosphere.
I struggled for a while with the "PRIVATIZE the gains...... SOCIALIZE the losses ........" concept, due to my ignorance. Now I get it. And boy howdy are we getting it, not up the tailpipe, but thru the heart so our blood can be drained. I've never read about anything quite like this situation. Can't help but wonder what's next?!?!
Sad but true ... And Libertad: beautifully said, couldn't agree more with you guys. Gnome & Libertad: Not sure if this is the right thread, but I'm just wondering, since we're obviously on the same page: how are you guys protecting your personal wealth ? Are you taking any steps to minimize your exposure to inflation for example ?
I think you guys might be interpreting the story wrong. They are extending the program through to next year, not the actual duration of the loans..
except that the loans can continue to be rolled over. sounds like perm financing to me. and they will stay in effect until they are no longer needed; if that means beyond next year, then that's what will happen. to believe anything else is delusional because if they aren't willing to stop them now then they won't later.
FED language translated....We will continue the "pyramid loan scheme" (TSLF) program through 2009 by which time we should have exhausted all treasury bonds/bills. At this point the pyramid loan scheme will implode.
this market burns billions every year. you'll need FED who has deep pockets to keep the ponzi scheme going. it's still 'more leveraged' as the financial institutions borrow more money to stay afloat. there is a limited amount of capital or money. FED can print or lend as much money as they want to borrow. FED is the sugar daddy.