Ever hear of something called inflation?
What kind of capitalism would we be living under if the government just starts handing out free money to every person so they can pay off their bills?
Scares me, that we are moving closer to socialism.
Financial bailout by US government...
- Thread starter g8r80
- Start date
Ever hear of something called inflation?
What kind of capitalism would we be living under if the government just starts handing out free money to every person so they can pay off their bills?
Scares me, that we are moving closer to socialism.
what??? where were you this last tax year??? Thats EXACTLY what they did!!!!
but they were too cheap about it....lmao......
oh, and it didn't work.....
Thats exactly what they are doing. Only they are handing money to the very rich CEO's. Not middle class America who is hurting the most.
what kind of capitalism are we living under when even the republicans are talking about capping incomes. Thats socialism right there.
In a few more years you will understand a bit more of how the economy works.
And if they didn't bail out some of these corporations, and allowed them to fail, there would be a domino affect of banks and corporations that will go under, people would find it impossible to get loans, and it will be a chain effect from one sector to another.
Not even mentioning the impact it will have on all the foreign investment that goes on in our banking system, if we allowed these banks to fail countries that are investing in us would pull their money out.
Giving free money out ANYTIME is bad. I don't agree with bailing people out, but whats happening now has to be done one way or another. It's not going to fix the problem, but it will buy the government some more time.
You act like the middle class is innocent, if it wasn't for the idiots that took out loans they couldn't pay back we wouldn't be in so deep.
It worked for a little while...was only a temporary fix...but all it did was deepen our national debt and increase inflation in the long run
Government printing money to give away = very bad.
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Lillian
Guest
uhmmm i don't think it's the middle class just not paying their bills but rather the massive amount of layoffs from jobs that cause people not to pay their bills. the middle class aren't a bunch of slackers ya know. what are you rich or something? LOL! btw...lots of people are friggin innocent when it comes to this damn sorry ass economy.
Waaa.. Waaaaa.. Waaaa......... People just need to man up and get their lives together.
Don't make enough money....... buy less stuff. Or, figure out how to make more money.
Cry, cry, cry....... My life is messed up, it can't be my fault since I couldn't have made any mistakes....... Yea, it's the mortgage companies......... I mean the government.......I mean............
Bill Gates has a lot of money right, take it from him to bail us out.
:SaiyanSmilie_anim:
Don't make enough money....... buy less stuff. Or, figure out how to make more money.
Cry, cry, cry....... My life is messed up, it can't be my fault since I couldn't have made any mistakes....... Yea, it's the mortgage companies......... I mean the government.......I mean............
Bill Gates has a lot of money right, take it from him to bail us out.
:SaiyanSmilie_anim:
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I agree here. Ultimately, it's up to the individual to practice responsible spending. I'm a member of the middle class. I've never gotten a loan for anything. I work and make enough money to sustain my needs, and I save the surplus.
The only thing I ever plan to buy that I won't have all of the money for at the time of purchase is a house. This is simply because it would take too long to save that much to pay for it in full.
But when it comes to getting a car, I plan to save enough to buy it in one payment. It's not that difficult, and I am by no means rich. It's about being patient and only buying what you can actually afford.
The formula is pretty simple. Spend less than you earn. If you're spending more than you're earning, then either spend less or make more. Sadly, so many people don't get this. If you're responsible and understand what it means to actually pay back a loan then you won't get in trouble. I think the main problem is that people think a loan means "free money". It doesn't. It means you will be strapped with a tremendous financial responsibility until the day you pay it off.
I think the nation as a whole needs to be more responsible with its spending. Money spent should be money well spent.
Very good points Spicy-P
I feel the same way about cars: if you can't afford to buy it, then you can't afford to buy it...simple as that. The ONLY thing that is acceptible to have payments on is a home mortgage, and even that should be done on a 30-year fixed rate where you pay a bit extra towards the principal each month so that it's paid-off in 15-20 years!
It's become far too accustomed for people to leverage thier income against payments, right to the point where every penny coming in is pretty much allocated towards a payment.
People....don't worry & fret too much about all the finances going on. America is a very industrious nation and we will prevail (just by our nature). We got ahead of ourselves a bit and once again certain people found a way to capitalize on by giving loans to people who couldn't quite afford it. We drove-up the R/E market, the stock-market and devaluated our dollar against foreign currency. All things are cyclical and this too shall come to pass....the thing to do is try to learn from it and avoid carbs!
I feel the same way about cars: if you can't afford to buy it, then you can't afford to buy it...simple as that. The ONLY thing that is acceptible to have payments on is a home mortgage, and even that should be done on a 30-year fixed rate where you pay a bit extra towards the principal each month so that it's paid-off in 15-20 years!
It's become far too accustomed for people to leverage thier income against payments, right to the point where every penny coming in is pretty much allocated towards a payment.
People....don't worry & fret too much about all the finances going on. America is a very industrious nation and we will prevail (just by our nature). We got ahead of ourselves a bit and once again certain people found a way to capitalize on by giving loans to people who couldn't quite afford it. We drove-up the R/E market, the stock-market and devaluated our dollar against foreign currency. All things are cyclical and this too shall come to pass....the thing to do is try to learn from it and avoid carbs!
And it is reflection in the state of the government budget...
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Lillian
Guest
what about those that were doing well paying their mortgages and bills until they were one of the unfortunate to get layed off their job and have children and become unable to pay their mortgage. it's not laziness or irresponsibility, it's the economy. middle class or not, if you lose your job your **** out of luck. and as we all know the job market sucks right now and no employer wants to pay you what your worth. lots of people were working and paying their bills/mortgages just fine until they got layed off.
Yeah but those who got laid off are obviously the minority. Getting laid off sucks, and that's a different situation. I think spicy was just addressing the average middle class person, who makes a decent amount, and simply has to be responsible and spend less than they earn. I really don't see the complication either. When you buy something, if you need to put it on your ****in American Express just to get it, don't you think you should be thinkin it through a little bit? I wish I had a job of smackin the **** outta people who spend money they don't actually have. My hand would get tired real fast.
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Lillian
Guest
i am a middle classer. i own a home. got layed off 6 months ago. job market sucks. just been making it on unemployment (now exhausted). we are just making it. i'm hanging on by a thread and i've been on 18+ interviews so far. the problem is the employer has so many people to choose from right now and the people only have a few select jobs they can apply to. it's ridiculous. i just don't agree that it's carelessness. that "may" be the situation for some, but not for all. i for one am trying like hell to get back to work and i know i'm not lazy, so to read some of these posts is very disturbing. i mean do you own a home? spicy already said she didn't. so how could she or someone who doesn't even know what the expenses are to maintain one and what it's like paying a mortgage. your fine paying it until you lose your job. that's what it comes down to. i hate shopping, so i can tell you right now i don't spend money on stupid ****. what goes on my credit card is food shopping and gas. go figure.
Okay no I don't own a home, so I don't know all the expenses. Sheesh, sorry you lost your job, but damn I feel like your husband who has to listen to you bitchin about it. That sucks that you lost your job, but as I said, the unemployed in this country are still a minority, I was just talking about the majority. Damn.
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Lillian
Guest
i guess me explaining the difference to you somehow bothers you. damn. and tell me where the statistics are that the majority of people were just plain careless. i'd like to see if that was your ass you just pulled that out of. i was stating a point....i think you should tell people where you get your information from. no need to be rude about it.
Actually, $700,000,000,000 divided by 250,000,000 people = $28,000 per person, which wouldn't pay off many mortgages. I have 6 mortgages.
Clearly, there will be emergencies that arise such as the loss of a job or an unexpected medical expense that will cause economic trouble for some people. It sounds like you are doing the responsible thing and trying to get another job. It's okay to go into debt for a little while if you encounter an emergency situation. That's what loans are for.
Loans are not for buying a new car when you can't afford it. They're not for buying a big screen TV, video games, beauty products or clothes. People do take out loans and go into credit card debt to buy these things though. Those are the people we're talking about. I can't tell you if that's the majority or not, but it is a huge problem that needs to be reigned in.
I've got to comment on this one too. I'm assuming you're just being sarcastic.
The reason this wouldn't work it that it would reward those who bought a house they thought they could afford but couldn't. and it would leave out everyone else who doesn't own a home. (In the housing market in my area, renting is the most financially sound thing to do right now unless you're very well off). So the people who refinanced their homes multiple times would get rewarded while the renters get nothing. I don't think so.
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the $700 billion is in addition to an $85 billion agreement on a bailout of the insurance giant American International Group, plus $29 billion in support that the government pledged in the marriage of Bear Stearns and JPMorgan Chase. On top of all that, the Congressional Budget Office says the federal bailout of the mortgage finance companies Fannie Mae and Freddie Mac could cost $25 billion.
yeah, you have the people who over spend, but this is about people who took out loans when they couldn't truly afford to do so, and someone convinced them that a ballon loan would work for them , or an adjustable rate loan, or interest only loan and they had no clue what they were getting into. Irresponsible? Sure. Do I want to have to bail these people out? no.
then there are the people like Lillian, who got caught up in the horrors of this economy and are suffering because of it. Nothing careless, nothing irresponsible.
The government is as much to blame as the people who took the loans. This is just another crap piece of legislation Bush is using to band-aid a crappy economy he caused. It's only going to make things worse.......
yeah, you have the people who over spend, but this is about people who took out loans when they couldn't truly afford to do so, and someone convinced them that a ballon loan would work for them , or an adjustable rate loan, or interest only loan and they had no clue what they were getting into. Irresponsible? Sure. Do I want to have to bail these people out? no.
then there are the people like Lillian, who got caught up in the horrors of this economy and are suffering because of it. Nothing careless, nothing irresponsible.
The government is as much to blame as the people who took the loans. This is just another crap piece of legislation Bush is using to band-aid a crappy economy he caused. It's only going to make things worse.......
Actually, it equals $2,800 per person.
$2,333 if you include every person (300 million).
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Lillian
Guest
sub prime lending is also responsible.