A interesting take on the 700 billion..

[bj229r]

Very interesting article Crockett. You know that Congress won't spend any profits on eliminating the national debt though, at least not the Congress we have known in the past. There would have to be some serious change in the thinking of Congress to get them to spend the profits in a responsible way.

blind squirrel meet acorn

[Toad]

Well said.  Loan them money at a high rate.  No bonuses, dividends payable until loan paid in full.  A no brainer.

Hell, loan it to them at the Fed discount rate to banks. Let them foxxers have an adjustable mortgage for a while. Might make them pause a bit before they went jacking around with the economy. Absolutely no bonuses for execs, no dividends to stockholders, no golden parachutes for bailing execs until the loan is paid. Cap their pay too. I've read where somebody proposed they make no more than the highest paid government executive (Prez = $400k) until they pay off the loan.

I'm with ya Hap... so is Meltzer and he's a good one to have on our side.

[Holden McGroin]

Absolutely no bonuses for execs, no dividends to stockholders, no golden parachutes for bailing execs until the loan is paid. Cap their pay too. I've read where somebody proposed they make no more than the highest paid government executive (Prez = $400k) until they pay off the loan.

How about congressmen who voted to require FannieMae and FreddieMac back bad real estate loans to those who could not afford them?

Do they lose their jobs?

I would be in favor of congressmen being held accountable.

[Hap]

Someone sent this to my Sister.  She forwarded it on to me. 


I'm against the $85,000,000,000.00 bailout of AIG.
Instead, I'm in favor of giving $85,000,000,000 to America in a…..

‘We Deserve It Dividend’.

To make the math simple, let's assume there are 200,000,000 bonafide
U.S Citizens 18+ years old.

Our population is about 301,000,000 +/- counting every man, woman and child.

So 200,000,000 might be a fair stab at adults 18 and up.
So divide 200 million adults - 18+ into $85 billon - that equals $425,000.00.

My plan is to give $425,000 to every person 18+ as a ‘We Deserve It Dividend’.

Of course, it would NOT be tax free…..
So let's assume a tax rate of 30%.
Every individual 18+ has to pay $127,500.00 in taxes.
That sends $25,500,000,000 right back to Uncle Sam.

But it means that every adult 18+ has $297,500.00 in their pocket.
A husband and wife team has $595,000.00.
What would you do with $297,500.00 to $595,000.00 in your family?

Pay off your mortgage - housing crisis solved.

Repay college loans - what a great boost to new grads

Put away money for college - it'll be there

Save in a bank - create money to loan to entrepreneurs.

Buy a new car - create jobs

Invest in the market - capital drives growth

Pay for your parent's medical insurance - health care improves

Enable Deadbeat Dads to come clean - or else

Remember this is for every adult U S Citizen 18+ including the folks who
lost their jobs at Lehman Brothers and every other company that is cutting
back.

And, of course, for those serving in our Armed Forces.

If we're going to re-distribute wealth let's really do it.... instead of trickling

out a puny $1000.00 economic incentive that is being proposed by one of

our candidates for President.

If we're going to do an $85 billion bailout, let's bail out every adult U S

Citizen 18+!

As for AIG - liquidate it!  Sell off its parts.
Let American General go back to being American General.
Sell off the real estate.
Let the private sector bargain hunters cut it up and clean it up.

Here's my rationale. We deserve it and AIG doesn't.

Sure it's a crazy idea that can "never work".
But can you imagine the Coast-To-Coast Block Party!

How do you spell Economic Boom?

I trust my fellow adult Americans to know how to use the $85 Billion
‘We Deserve It Dividend’’ more than I trust the geniuses at AIG or in

Washington DC.

And remember, The Birk plan only really costs $59.5 Billion because

$25.5 Billion is returned instantly in taxes to Uncle Sam.



Ahhh.... I feel so much better getting that off my chest.

[Toad]

How about congressmen who voted to require FannieMae and FreddieMac back bad real estate loans to those who could not afford them?

Do they lose their jobs?

I would be in favor of congressmen being held accountable.

Each voter gets a chance to hold their Represenatative accountable once every two years. Senators once every six years.

Wall Streeters are theorhetically held accountable by their stock holders. Since the US taxpayer is going to be their banker, I think the US taxpayer can and should set a few conditions on the loan.

[Toad]

Another potential bailout plan that does more for the taxpayer than for the guys with the 250' yatchs.

Personally, I'm a little tired of the little guy covering for the screwups of the very rich. I think this idea might do more for the economy than any I've heard so far. If we're going to throw a TRILLION DOLLARS at some people, let's throw it at the common man instead of the rich dude.

Mortgage buy-down is something just about everyone who has bought a home understands. This plan buys down rates for qualified buyers. Pretty simple as are most things that work.

http://foxforum.blogs.foxnews.com/2008/09/25/jpinkerton_0926/

So what’s the alternative? Mallory Factor, a South Carolina businessman, has a better idea: “Bail out homeowners, not lenders,” he says. “Any qualified buyer who wants to buy a house,” he says, “could buy one at a guaranteed low interest rate, of, say, 3.5 percent. And any qualified homeowner who wants to refinance could get the same rate.” If that happens, Factor predicts, “There would be a flood of liquidity into the system, as people bought houses again, which would also help reduce the housing-stock overhang. In addition, as people refinanced, all these instruments, such as collateralized mortgage obligations, which Fannie Mae and Freddie Mac have choked on, would once again start performing. And that would save the banks and many investors. It would save the banks and investors by saving homeowners and homeownership.” In other words, trickle up, not trickle down.

The current interest rate for a standard 30-year mortgage is around 6 percent. At that rate, the payments on a $300,000 mortgage work out to $1,799.65 a month. By contrast, at Factor’s proposed rate 3.5 percent, the payment would be just $1,347.13 a month. That’s a whopping difference, especially for homeowners who might have paid more for a house than it is currently worth. And at 8 percent, which many adjustable rate mortgages (ARMs) have shot up to, the monthly bill is a prohibitive $2,201.29 a month.

This interest-rate buy-down is the elegant heart of Factor’s plan. And who would do the buying down? “The federal government,” Factor answers bluntly. “This is a government buy-down of interest rates, but it would benefit homeowners first, and only then, second, the banks.” But, he notes, the buy-down is only for qualified borrowers. So the banks would still lose a lot of money. Which is good, since they need to be reminded not to make this mistake again. And since there’s no Fannie or Freddie any more to buy these dubious loans in the future, the banks will have to be careful, once again, about who is a qualified borrower, and who is not. The government, Factor reminds us, would only be on the hook for the costs above 3.5 percent—the banks would be responsible for the first 3.5 percent, and for the principal.

That’s bad news for bankers, Factor adds, but good news for taxpayers: He estimates that his interest-rate buy-down plan would cost Uncle Sam perhaps $200 billion (more if interest rates rose, less if interest rates fell). But it would surely be cheaper, he suggests than the trillion or more that the Washington plan seems destined to cost. And once again, Factor’s plan would focus on Main Street, not Wall Street—surely a substantial virtue in and of itself.

[Hap]

Each voter gets a chance to hold their Represenatative accountable once every two years. Senators once every six years.

you bet ya toad!  here's a site that will learn you up on who your people are.  if you like, vote 'em out.

http://www.votesmart.org/index.htm

[Toad]

Probably voting straight Libertarian ticket where candidates are available. Where there's no Libertarian, I generally vote against the incumbent. DC needs to be turned upside down and shook hard to get the cockroaches out of there.

[crockett]

Someone sent this to my Sister.  She forwarded it on to me. 


I'm against the $85,000,000,000.00 bailout of AIG.
Instead, I'm in favor of giving $85,000,000,000 to America in a…..

‘We Deserve It Dividend’.

To make the math simple, let's assume there are 200,000,000 bonafide
U.S Citizens 18+ years old.

Our population is about 301,000,000 +/- counting every man, woman and child.

So 200,000,000 might be a fair stab at adults 18 and up.
So divide 200 million adults - 18+ into $85 billon - that equals $425,000.00.

My plan is to give $425,000 to every person 18+ as a ‘We Deserve It Dividend’.

Of course, it would NOT be tax free…..
So let's assume a tax rate of 30%.
Every individual 18+ has to pay $127,500.00 in taxes.
That sends $25,500,000,000 right back to Uncle Sam.

But it means that every adult 18+ has $297,500.00 in their pocket.
A husband and wife team has $595,000.00.
What would you do with $297,500.00 to $595,000.00 in your family?

Pay off your mortgage - housing crisis solved.

Repay college loans - what a great boost to new grads

Put away money for college - it'll be there

Save in a bank - create money to loan to entrepreneurs.

Buy a new car - create jobs

Invest in the market - capital drives growth

Pay for your parent's medical insurance - health care improves

Enable Deadbeat Dads to come clean - or else

Remember this is for every adult U S Citizen 18+ including the folks who
lost their jobs at Lehman Brothers and every other company that is cutting
back.

And, of course, for those serving in our Armed Forces.

If we're going to re-distribute wealth let's really do it.... instead of trickling

out a puny $1000.00 economic incentive that is being proposed by one of

our candidates for President.

If we're going to do an $85 billion bailout, let's bail out every adult U S

Citizen 18+!

As for AIG - liquidate it!  Sell off its parts.
Let American General go back to being American General.
Sell off the real estate.
Let the private sector bargain hunters cut it up and clean it up.

Here's my rationale. We deserve it and AIG doesn't.

Sure it's a crazy idea that can "never work".
But can you imagine the Coast-To-Coast Block Party!

How do you spell Economic Boom?

I trust my fellow adult Americans to know how to use the $85 Billion
‘We Deserve It Dividend’’ more than I trust the geniuses at AIG or in

Washington DC.

And remember, The Birk plan only really costs $59.5 Billion because

$25.5 Billion is returned instantly in taxes to Uncle Sam.



Ahhh.... I feel so much better getting that off my chest.

edit.. I should have read it better the math is wrong in this post.

[kamilyun]

85 billion divided by 200 million does not equal 425,000

try 425.

The 700 billion $$ bailout plus another few billion for other bailouts/loans/whatever = $1 trillion = $1000 billion = $1000000 million. 

There are about 120 million households in America.  You can substitute working adults, legal working adults or whatever, but you'll still come up with something between 100 and 250 million.  That works out to $10,000 to $4,000 per unit (household, working adults, whatever).

It's really not that much.  Suck it up losers.  Do your part for the economy.  Who cares if a bank CEO's compensation package is $15 million. 

-----------

What's that uncomfortable feeling in your rectum?  Adam Smith's "invisible hand", of course!

[Toad]

Where do you buy your cars and houses? I want to get in on that deal!

WASHINGTON, Sept 21, 2008 /PRNewswire-USNewswire via COMTEX/ -- Bailout legislation that may sail through Congress this week will cost about $6,500 per U.S. family, a little over $2,000 per person, according to an estimate published on the WashingtonWatch.com blog.

Where can I get a house or a new care for $6500? I want to buy several.

Too bad most Americans are too stupid to figure it out.

[/size]

Umm.. yah.... $6500 houses.

[Donzo]

I propose a $5.12 tax on SkyRock for every moronic post he makes on the AH II BBS.

It might help.

[SkyRock]

I propose a $5.12 tax on SkyRock for every moronic post he makes on the AH II BBS.

It might help.

Palin is a moron.   

 

[Donzo]

+$5.12....we're on our way 

$ 699,999,999,994.88 to go

[bongaroo]

Probably voting straight Libertarian ticket where candidates are available. Where there's no Libertarian, I generally vote against the incumbent. DC needs to be turned upside down and shook hard to get the cockroaches out of there.

I really hope we can convince more people of this idea.  Both parties have been taking turns for far too long.  No real issues are solved and we go into panic mode every few years with a new type of crisis.  For f*%s sake we've (as a nation) created most of our current problems with prior f*$k ups.

Yeah Afghans!  Take these weapons and fight the commies!  Yeah!  Good job, but no sorry; we aren't going to be helping you rebuild your country or do anything about all the crazies taking over your country in the huge power vacum, leading to whole generations of misguided western civilization hate.  Whoops!

Yeah Iraqi's!  Fight those Iranian bastiges that it turns out are buying weapons from us too.  $$$!!!

On and on we go.  Let's get our house buisness settled out before we keep sticking our grubby paws out around the world, huh?

Get these no good incumbents all out!  Get as many of both parties out.  The longer we don't threaten to hit the big red reset button on not only Washington DC politicos, but also the state reps, the longer we watch everything fall apart.






Also, if we're going to do a bailout I love the idea Hap posted up!  If we're giving out handouts, give it to us!