Collapse of the banking system=death of the USA. USA would not be worth a damn as a country. It would be worse than romania. Bailout was not an option, if the banking system collapses civilization as we know it ends and it is back to stone age.
"exactly - we would be far better with no government intervention. We would have saved trillions in tax dollars." Idiotic...
This messageboard provides a veritable sample of sarah palin's core supporters. Anti bailout, ignorant of the world, speaking in generalities, i.e people who don't know much about anything just like sarah palin.
Are you not the same dickwad who was ranting about how if Forex margins were cut it would hurt your trading? But now you have the unmitigated gall to criticize ratings agencies and lack of regulatory oversight? Further, if you want to talk about being considered a douchebag, go make a bunch of money in the art of currency speculation and see how well that plays with the leftist crowd. Here you are, nothing more than a two-bit aspirant to the amoral persuit of raiding and shorting a nations money yet you're some self-righteous moral authority. I find you a particularly dangerous, almost Stalinesque type personality. Filled with class envy, delusional, duplicitous, elitist without pedigree, snarky without education yet a staunch, mean spirited critic of others. You're one sick dude.
LOL. Try not creating other usernames to hide behind, mr. 56 posts registered in february of 10. Btw cutting margins in forex has nothing to do with regulatory oversight it is about killing the retail forex. People are warned many times that high leverage can lead to increased gains and losses. Even with 400:1 leverage there was no danger of the retail forex clients destroying the world, unlike trillions of CDO, CDS and other derivatives.
pure speculation out of the mouth of a collectivist. I see you fell for Paulsons bullshit. Do you realize the reason Goldman would not let AIG go bankrupt was because the Trustee would have clawed back billions. What good deal makers would not have reformed new useful banks overnight? There would have been huge competition for the right to auction off U.S. debt. The only thing that would have happened is that a few large banks would no longer exist. The Fed would have picked a few new regional bank shareholders and the games would have begun again. Only this time without the expected safety net. Capital would have been allocated more rationally. Do you realize the trillions we have spent buying back under valued mortgages and allowing the fed to swap out agency debt for U.S. with the China. You have no idea of the extent of the trillions we have just wasted. Trillions which were completely wasted. (Even if you still prefer the bailout - We could have just handed out a few hundred thousand to every American. It would have been far more effective and cost the same.) Business as usual would have come back faster and stronger. Instead we are going to a decade of Japan style zombie bank economics.
And who told you those instruments "destroyed" the world? Did Lehman receive a bailout? Truth is, neither you nor I know how much American and European banks lost from real life mortgage lending vs. derivative trading. The bank owned by the Democrat Senate candidate in Illinois is going under and they didn't trade in any shape or form. Just bad loans. If you continue parroting, populist media talking points about 100-1 leverage etc, you're going to enjoy little credibility on trading matters. You know how you talk about huge margins are needed on certain Forex crosses? Well it's the same in bond trading. Lehman, MER etal weren't naked long at those high margins but were spread at those high margins. How much jack you think a 5-1 margin long CDS vs. 10year Treasury is going to make you?
Ok here are 2 numbnuts trying to drown me out in their shouts. It is easy to say post factum that bail outs were not needed but the simple fact is, whether banks were or were not insolvent is irrelevant, there was a widespread crisis of confidence and people were withdrawing money from money market funds. When you have an unchecked crisis of confidence you have a run on the banks and you have a widespread depression. Bail out was necessary to show that the government was ready to step in and prop up the financial system, you take away that, you have armageddon.
1)Really so how was it some "naive simpleton" as you described me knew to cash out of his guaranteed (EIA) pension and invest it aggressively doubling his net worth in 1 yr? If a simpleton such as myself saw the opportunity of a lifetime how come you missed it? 2a) Well now that problem is inherent in having a worthless fiat currency. Thank a progressive for that. 2b) Bank runs don't necessitate an economic depression. 3):eek: