We Don't Need No Water...

At the beginning of this "economic crisis" I jadedly opined, 'go ahead and let these financial institutions rape us, They want one more good stroke before we get a new president that will crack down on them". Thank goodness enough people pitched a big enough bitch to stop popular support for this. Maybe I'm being to naive and this is just political theatre to show how lazy a dog the democratically led congress is. Couldn't have played out worse for McCain but we won't go there today. It would be really cool if the government passed a bill that essentially bought most american people's houses and let the effects work their way up to wall street. That's probably too optimistic. The naysayers who want wall street bailed out sound more and more ridiculous when they keep repeating that mantra that oooh, you won't be able to get a college loan or a house loan or a mortgage if this doesn't go through. They are half truths. Better off children who's parents make too much to qualify for government subsidized loans may have trouble getting private loans for college--that is if their parents have bad credit. In most cases, you'd have to have a buyer for your house to go and look for a mortgage for a new house...and pre bailout nobody can sell their home...so I don't think mortgages are something entirely in that much demand anyway. Car loans? Again people with good credit, are not overextended and have a down payment will still be able to get a car loan still. Everybody with dinged up credit and already have too much debt? Yeah, it's going to hurt a bit. But it hurt after the housing bubble burst already. The wall street bailout doesn't help with that. It doesn't give confidence to joe blow. It does give confidence to the traders, though. If the government buys up all the houses that have people in them and renegotiates (writes down) the %/length/principal, the people in those houses will feel more confident that they aren't going under even if they have made the mistake of letting their homes value get to their heads and spent a little too much money on credit cards. Why buy the bets on a bunch of assets when you can just buy the assets? I hated econ in school so maybe there's something I'm missing, but the latter seems a hell of a much more desirable investment than the former.

Wall Street? Yeah they're americans too but they'd sell their mother to India or China if it meant an extra buck to them. Screw them.