The World is watching us...

[Mr No Name]

No sense in socializing our banking and market system to please the world... we should only worry about OUR economy... printing $700B will do nothing but saddle us with debt and destroy currency value.

[Gunthr]

national crisis?  Buffalo balls.  its a wallstreet crisis.  The exact cause and identities of those at fault should be made public before any of the people's money is handed over to the same b-tards who allowed it to happen.  

[mg1942]

Another 1st rate economy experienced the same situation as USA.  
They had no other choice but to use tax payer's money.

First, a reminder of how bad things looked in 2002. At that point it seemed almost inevitable that one of the huge Japanese banks would find itself insolvent. It became clear that they had a severe problem with bad debt — money that they had lent to companies and individuals who could not repay it.

During a property market boom, the banks were happy to lend to builders and developers, especially those who were putting money into offices and shops in big cities like Tokyo. Then property prices tumbled and the developers could not repay their loans. Banks were losing money in loans to people who could not repay them and whose collateral, the value of their property, was less than the value of those loans.

The Japanese authorities agonised over what to do. They slashed interest rates to zero. They pumped money into the financial system, just as America has. But in the end, they took the expensive and painful decision to use tax payers' money to help the banks write off the bad loans.

At least US$100bn dollars went on the programme. The Bank of Japan lent money to institutions at special rates and also bought some of their shares. The money came with an important proviso; the Bank of Japan wanted full disclosure of how serious the problem was and a promise from the banks not to let it happen again.

http://news.bbc.co.uk/2/hi/business/7623779.stm

[Captain Virgil Hilts]

It will be cruel if it doesn't pass.  It has to pass for the good of the nation and the world.

No it won't. No, it doesn't. I'm not worried about saving the world anymore, I'm worried about a permanent solution to save our economy. That in itself will do enough to help the rest of the world.

[Mr No Name]

We can do this without it... cut capital gains and corporate taxes, end market-to-market accounting and that will free up tons of cash within weeks.

[DREDIOCK]

It will be cruel if it doesn't pass.  It has to pass for the good of the nation and the world.

I've been thinking about it.
Eventually the banks that havent failed will have to start lending again. thats how they make money
If not they themselves put themselves out of business.

It'll be suicide, suicide I tell ya

[straffo]

We can do this without it... cut capital gains and corporate taxes, end market-to-market accounting and that will free up tons of cash within weeks.

I though your cash was in China ?

[avionix]

I am tired of the US doing things for the world whenever something big happens.  For once, if the world is that scared, why don't they donate to the Wall Street Catastrophe Fund.  Bail us out for once instead of us bailing them out.

[Ripsnort]

Do you want the world to lose confidence on USA economy?

Hell, they could give a crap about us, they're worried about their own skins! If we go under, they go under. Global economy! Nuff said!

[mg1942]

Do you want foreigners to start flocking to US to buy ailing banks? corporations? properties?

PRC has trillion dollar surplus but no motivation for the moment...

[Ripsnort]

All I know is that the longer this goes on, the lower oil drops, keep up the good work.

$3.25 9/10 at the gulf down the street today, w00t!

That Billionaire that has his own show on TV (Donald Trump) said the same thing basically. Don't pass it, let's let things re-adjust to their proper worth, like (quote) "Oil should be $20 a barrell, not $140"  

[Ripsnort]

Do you want foreigners to start flocking to US to buy ailing banks? corporations?

PRC has trillion dollar surplus but no motivation for the moment...

Why would they buy US banks when they're transferring their investments into Euro's, not dollars?


And even if they did, if you're a foreigner and you want to buy a US bank? Go for it. I doubt you'll get many U.S. customers though!

Japan went through this in the 1990's. They started off with 91 major banks. When it was all done and said, there were 9 banks left.

We'll survive Chicken MgLittle, don't fret now.

[avionix]

Don't pass it, let's let things re-adjust to their proper worth,

Hope the people in Washington do just that.  Of course though, they won't.

[DiabloTX]

Chicken MgLittle

Coined!

 

[mora]

I hope it's YEA. I'd like the dollar to become stronger. Last week I exchanged $1500 dollars for my upcoming trip when € was 1.47 against it and now it's down to 1.40. I'm going to Venezuela so I need it as a medium for blackmarket exchange.