September 25, 2008

On the Bailout

I'll be short, concise and to the point and will support my position with two quotes.

My position: I am 100% passionately against the bailout. Let whatever happens happen. Why you ask?

In bailing out mortgage lenders Fannie Mae and Freddie Mac, our government has basically turned America into the largest subsidized housing project in the world.

Just when I thought all hope was lost with Republicans, at leas one seems to remember what free markets are all about, and remembers what being a Republican stands for:

The idea of a government bailout in which we’d entrust $700 billion to one man without Congressional oversight or accountability is absurd. My party or not, that is insanity and I believe unconstitutional.

Will there be far-reaching consequences without some intervention? Probably, but we honestly don’t know since we’ve really never seen this level of greed and stupidity all rolled into one massive move. But may I suggest that letting “Uncle Sugar” step in and bail out the billionaires who made the mess will be far worse and will start a long line of companies and individuals who will demand the same of the government

Posted by Ventanita at September 25, 2008 12:13 PM



Comments

Be careful what you ask for. There hasn't been a "free market" in mortgage lending for almost 30 years. If we go back to one now, the "reset" will be a bitch. Not to mention that the politicians and bureaucrats will feel compelled to tinker with the system on the way down and just make matters worse. When the mortgage market implodes, it will likely take the rest of the credit market with it(as evidenced by the commercial credit market being "locked up" already). Our economy, for good or bad, is built on the credit market. The "reset" would likely bring the whole system down and I have little confidence that something better would replace it - since currently over half our population is planning to vote for a obvious Marxist.



Back in 1930, my grandparents left the mill village in North Carolina and moved back to the family farm. There ain't no family farm for me(or 99% of the U.S. population) to go back to. I'd rather take my chances with a "bailout" at this time. But I am stocking up on food and ammunition just in case.

Posted by: Diogenes [TypeKey Profile Page] at September 25, 2008 01:04 PM

I agree in part with Diogenes, that the market wasn't a free market to begin with and as a result, the mess we're in.

Posted by: Cigar Mike Pancier [TypeKey Profile Page] at September 25, 2008 01:44 PM

From what I understand, this is not going to those who created the problem. They will get no money from this. It is going to restore some liquidity so loans can once again be available, and to buy bad mortgages (which should never have been allowed or given in the first place, but which were forced on the mortgage companies by Reno and other "do-gooders" in government) at a low price to keep things away from crisis mode. Then when things settle down, these items will be able to be sold at a profit and the cost of this bill will be much lower in the end. I suspect part of the bill will finally be the oversight that Bush and McCain were urging many times over the years but members of congress were saying no to. Too many in congress, Rep and Dem, were getting too much money from Fannie May and Freddie Mac to want anyone snooping. Whenever social engineers try to democratize and order things given to those who can't afford them, a mess is what ensues. Those who created this mess are the same ones who would supervise our health care system if it went socialistic. Ugh.
I hope no add-ons were allowed. I hope it is a clean bill with no social engineering.

Posted by: honey [TypeKey Profile Page] at September 25, 2008 01:55 PM

Posted by: Larry Daley [TypeKey Profile Page] at September 25, 2008 02:01 PM

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