Let's kill this Wall Street bailout!!!!!!!!! Wall Street vs Main Street !!!!!!!!!!!!! Wall Street is our rich crazy old Aunt we keep locked up in the closet. If we do not help her the results are dwindling 401k's and assorted pensions and our hope for passive investment retirement income. Yesterday on the debates commentaries waved away the 18b in earmarks as a paltry sum in relation to the total budget. Yet a few CEO's walk away with golden parachutes of 10 million or so, and all of sudden a few million is big potatoes for a 700 billion dollar bailout. We'll tax the rich and the money will end up back in the treasury anyways.
I was wrong in my previous post. This isn't a stick up, it's extortion. We pay the money to the mob and we get to stay in business.
Well, what are you complaining. So far not a fucking of your dime was spent on any bailout, so why would you want to see a dime? If the package goes through, then where do you see housing prices in, lets say 5-10 years? Where do you see the valuations then of the derivatives that have housing prices as their underlier? So, where would the treasury not make money on this deal? Now, what would they do when valuations come back to relatively healthy levels? Its not that valuations are fair right now, please dont tell us that 9-15 cents on the dollar for a lot of corporate bonds and mortgage senior pass throughs is healthy. There is a lot to be made for an institution with deep pockets and calm hands afterwards, such as the Government. Dont expect your taxes to be raises because of that, so also dont expect taxes to be reduced when valuations get back to healty levels. The government will raise debt to finance this package and they will use the proceeds later to repay the same debt. So, which part of this do you still not understand???
Sounds more like you are blaming everyone. Why is it suddenly the greedy executives??? I just simply dont get it. First, if your bonus was structured as theirs, would you not have done exactly the same, would we all not? Secondly, was it not the crazy consumers on main street? Nobody forced some lower to middle income guys to sign the letter without down payment. Nobody ever suggested that an average American with 40-60k annual salary deserves a 100k sports car and credit card debt to the hilt. Whom are you blaming? People who took advantage of others greed and unrealistic expectations? How does the john on the street get punished for his greed? Is it really enough that such guy can simply hand in the keys to the house and walk away while others needs to deal with his debt that he was unable and unwilling to settle as a conclusion of his irresponsible behavior? I think everyone is in the same boat but the least that should point fingers are the average Joes who have brought this whole mess about. I am not defending rediculous pay packages but lets keep things in the right perspective. John Thain has not brought about this malaise. By the way, most of his package originates from a clause that Merrill would pay him for what he had to fortfait when he left Goldman. Media love to jump on those guys but fact is they have made billions to shareholders all the years back and nobody complained. Just because some dumb asses dont get it that a 150 dollar stock can go down to 30 cents before they get out does not mean that everyone else did the same and that everyone on Wall Street is an evil, greedy bastard. (There are some but it hilarious how everyone throws himself on the evil bankers gild now).
. IluvVol: The government will raise debt to finance this package and they will use the proceeds later to repay the same debt. So, which part of this do you still not understand??? *********** September 28, 2008 SouthAmerica: The portion of the Wall Street bailout that needs a little more clarification for the average American taxpayers is the following: The Bush administration believes this is the âOwnership societyâ and after the bailout is complete and they are also done dismantling all kinds of social programs such as Social Security, Medicare, Medicaid, pension for government workers and so forth in the near future - Americans are going to own the right of taking care financially of their parents, grandparents, and of anyone that is covered by a government program such as Medicaid â let me give you a real example for you to understand what is at stake. I hope you make a lot of money on your 401-K and other investments because you are going to need every dime to take care of all the members of your family. Let me give you just a simple example that is going to become a Tsunami very quickly in the near future: Letâs say a member of your family is in a nursing home and they have Alzheimerâs disease after most Americans run out of money Medicaid picks up the tab, and that is the largest expense that the Medicaid program pays every year. Now under the new plan you have the right to take home your family member that has Alzheimerâs disease and you also have the right to pay all the bills generated by your sick family member. You and your family will have the honor to take care 24/7 of your sick relative such as your mother, father, grandparent, or your family will have the right to take care even of yourself eventually. The Republican governor of Rhode Island is already implementing such a system on his state as the rest of the country watches what they are doing in Rhode Island. The state of Rhode Island already has adopted the new âownership societyâ values â you also own the right to pay for all the expenses related to any disease that you have or one of your immediate relatives. At the same time they are going to cut to the bone any benefits related to the Social Security and Medicare programs â and all the younger people under the age of 65 will have the right to support financially all the old relatives of their families. There is one item of the US government budget that is going to explode in the coming years, mainly when the US dollar starts declining very fast in value and interest rates in the United States also explode in a wave of hyperinflation. Yes, the one piece of the US government budget that is going to grow a lot is the interest paid on US government budget. The growth in that area is going to be fabulous not only the US government is going to continue borrowing more money from foreign governments to fund its future deficit spending year after year as is there was no tomorrow, but as the cumulative debt that is already on the books will be rolled over at higher and higher interest rates. The interest paid by the US government it will be king in future US government annual budgets. Interest on the outstanding debt is going to take bigger and bigger slices of the annual US government debt. As you can see the US government is going to give you a chance and the opportunity of making a lot of money on your 401-K when you invest on the past of the US economy and invested on bailouts long gone made in an effort to correct massive fraud that occurred in the past in Wall Street. The future looks great only to the scoundrels in Wall Street that set up and raped the US economy in the last 8 years - and they are trying to get away with one last rape - in a form of a $ 2 trillion dollars Wall Street bailout that is underway - before they get finally castrated. .
sorry - i vote we keep the cow, wall street keep the magic beans conscripted speculation is not a role of government without the bailout, any individual is still free to be his OWN MONEY on this great deal be my guest
In goverment accounting taxes are considered profit. So, in fact, next administration might be the most profitable of all
Here it is in very simple terms... This is a real estate problem.... Now let's talk as if it were a stock.... ........................................................ A lot of companies put 3 to 10% down on a $240 stock.... The stock went down $70.....and will go down another $50...... The companies that held too much of this .....found out what leverage means by getting wiped out....Bad business decisions.... I do not know of any manager that has not eventually blown up when levered 30:1..... But this is what has happened.... ................................................... Now here is what can happen.... When the stock goes to $120, it may have the chance to go to $170 in the future.... When the $50 gain can be reflected in an earnings multiple in equity....it is possible for the equity holder to make a multiple of the initial investment..... This cannot be a 1:1 payback story...this has to be a equity payback story.... And can happen..... ...................................................... Anything else....would be a lesser deal.... And one has to do a deal.......