What are these securities that the Government is talking about buying on the American people’s behalf?
Are they like a bunch of foreclosed mortgages? Are they just a bunch of debt that collection agencies would usually buy for a relatively low price and then try to collect on? Anybody know?
Now for my opinion which includes alot of opinions and speculation.
I’m worried that the government is buying up a bunch of debt so that they can sell it to a collection agency when the market stabilizes so that the American people can then be collected from on those debts? Burning the candle from both ends if you will. Pay so that people can collect money from us. Why not bailout the American people themselves? For the first time we are in a situation where we can use the American tax payer’s taxes to actually do them some tangible good. Pay off all American Student Loans and/or some mortgages (not sure exactly what 700Billion can do, so don’t know if the government paying off mortgages would be feasible) but that will inject the banks with the 700Billion or so freeing up that capitol so they can loan it back out, and will – at the same time- make the people happy (for once). Just seems like all I see is rich people worrying that they are going to make only a couple billion profit this year rather than the tens of billions like normal. I feel like the last couple generations are just doing anything they can to make money and soak up all the money they can no matter what. I hope this bill doesn’t pass the House. I feel as though this market collapse or depression or sownturn – whatever you want to call it – would be a purging event. The prices of everything have become so inflated due to the past generation’s greed that I think this is what we need. I hate this, because this is the first issue in a long time that just doesn’t seem like it will hurt American taxpayers as much as it will rich people who took a lot of risks, and low and behold the government (a bunch of old white men that most likely have a lot of wealth tied up in the market) just jump up quicker than I’ve ever seen and are trying – very aggressively – to save their money. I don’t have much stock in the market so maybe I’m in the minority on that fact but I think if I am, it is only because of people’s 401Ks through their job not through directly buying/selling/trading on the actual stock market.
It sickens me to think too hard about this. We need the purging of the system. We are trying to reinflate a bubble that is in immenent danger of popping. I think that any bailout will push markets up just enough that people will say “well, this is probably as high as my stock will go for a while so I will pull out now” so then we have a mass exxodus of investers and it crashes again, but now the American people are now out 700Billion. Swindled once again by corporate america and our government.
All I hear is that the people are against this action, but that seems to be on the backburner and being downplayed by all the media. I assume a lot of them (media) also have a lot of wealth tied up in the market and want this bill to pass. I’ve watched as they have tried manipulating the people by changing how they refer to the bill from a “bailout bill” to a “rescue bill” playing psychological games with us.
Dukemack (or whoever) – Are those foreclosed mortgages then? What would make them more valuable later?