Pelosi and the Democrats blame the Republicans that the bailout bill did not pass the House. Uh.. Please, someone please remind me who has a majority in the House?
The Democratic Party has control but even Pelosi couldn't get 90 Democrats to vote for the bill. Had she gotten another 13 it would have passed. I am told that all those on both sides of the aisle that have tough reelection campaigns going on voted "Nay" while those with a presumed walk in reelection voted "Yea".
145 Republicans voting against, 90 Dems voting against, Brian's comment seems right on to me. I personally think that Americans are really upset with the bailout without understanding the real crazy implications that economists (for the most part), most leading Republicans and Democrats understand. Bush and leaders in the House and Senate supported it. We can expect the worse if they don't get it ironed out.
One very real possibility is that a lot wanted to be on the record as having voted against it once. I voted against it the first time, and then for it the second time thereby appearing responsive to angry constituents and eventually responsible regarding the true needs of the country.
There was a lot of blaming going around from both sides of course.
I saw a news report saying that dems didn't want to go on record endorsing a bill that came from the white house and not them. They didn't want to be seen as supporting Bushes administration. But...I don't know really. It is all very confusing to me. Unfortunately, I am not very savy when it comes to economics, so I don't even have an opinion as to whether the bail out is a good thing or a bad thing.
I do not know if the Dem leadership blamed Bush for the failure, maybe in part because he couldn't get more repubs to support it, but they know he addressed the nation asking for support of the bill so it is hard for them the say it didn't pass because of him alone. I believe, not sure, but I thought I even heard a few high level Dems acknowledge that Bush tried to push it through. I think they are blaming the members of congress.
From talking to someone who works in the financial arena, my thoughts are the bailout is a terrible thing but it has to pass because the longer it stays in limbo the more it will affect the Stock Market. It dropped around 700 points. We have probably lost about 20% or more of our retirement. ouch. I hope that everyone realize that our precious government (congress I believe) is the one who put us in this situation to start with by making bank, morgage companies, etc give loan to people who should not have gotten them. And once again with this bailout the government is going to screw things up again. If Kyle and I ran out household finances like the government we would have been bankrupt a long time ago. I take that back, because I know that the government who have taken care of us.
Congress put pressure on Banks and Mortgage companies to give loans to people with bad credit. I am sure you have hear of the "no credit, bad credit, no problem" Anyone in their right mind would not give out no money down loans. Did you know that some of the companies were giving 125% loans as 2nd mortgage. That is crazy. Most of these happened in low income areas because they wanted to make sure people could have a house to live in. All of those 2nd mortgage loan to consolidate debt were a big part of that too. 2nd mortgage were designed to help people to get money for remodeling or adding to their home, NOT to pay off bad debt. Anyway, many of these loans were bad debt because the people who took them, some of them did not even have jobs and it was not legal to do a check to see whether of not those people had jobs, so those loans never got repaid.. I know of a company that I use to do their books for which was one of them, they had 1 mortgage loan, 1 2nd mortgage loan and a business line of credit loans. The interest on those loans were over $12,000 and they did not always make enough business income to even cover that. Now we are asked to bail these companies who went bankrupt because of that. Stupid government!!!
Isabelle is correct. The government pressured banks and financial institutions to make the loans, and Freddie Mac and Fannie Mae were only too happy to help this process along because their executives got bonuses based on the performance of the company. The banks thought that since the government was backing these mortgages everything would be ok, but it turned out that Freddie Mac and Fannie Mae had cooked their own books to ensure they the executives got their bonuses. So guess who got left holding the bag? The banks. Now the banks and other financial institutions are going belly up and the government wants to take our tax money and save the banks, etc. Here's the process: Government causes problem, government borrows money from our children (future taxpayers) to solve problem. Banks happy, government pats self on back and hands bag of #$@% to taxpayer.
Bankruptcy for banks and other financial institutions who are holding these bad mortgages and loans. Normally, that would be the natural course of events except for the size and magnitude of the situation.
The FDIC would cover any deposits up to $100,000, so you won't directly lose any money, but it makes one wonder where the government gets the money to pay any claims to the FDIC. The government doesn't have any savings. The politicians have spent every last penny, including Social Security, Medicare, Medicaid, etc. So where does the money come from. Ah yes! The every trustworthy taxpayers, their children, their children's children, and so on!
You forgot. They can always print more money.... See Teresa, sometimes I do know what I am talking about. By the way, check out my next comment. Remember I have a son named Max and my last name is Horrocks. Check it out!!
13 comments:
The Democratic Party has control but even Pelosi couldn't get 90 Democrats to vote for the bill. Had she gotten another 13 it would have passed. I am told that all those on both sides of the aisle that have tough reelection campaigns going on voted "Nay" while those with a presumed walk in reelection voted "Yea".
145 Republicans voting against, 90 Dems voting against, Brian's comment seems right on to me.
I personally think that Americans are really upset with the bailout without understanding the real crazy implications that economists (for the most part), most leading Republicans and Democrats understand. Bush and leaders in the House and Senate supported it.
We can expect the worse if they don't get it ironed out.
One very real possibility is that a lot wanted to be on the record as having voted against it once. I voted against it the first time, and then for it the second time thereby appearing responsive to angry constituents and eventually responsible regarding the true needs of the country.
There was a lot of blaming going around from both sides of course.
I saw a news report saying that dems didn't want to go on record endorsing a bill that came from the white house and not them. They didn't want to be seen as supporting Bushes administration.
But...I don't know really. It is all very confusing to me. Unfortunately, I am not very savy when it comes to economics, so I don't even have an opinion as to whether the bail out is a good thing or a bad thing.
I do not know if the Dem leadership blamed Bush for the failure, maybe in part because he couldn't get more repubs to support it, but they know he addressed the nation asking for support of the bill so it is hard for them the say it didn't pass because of him alone. I believe, not sure, but I thought I even heard a few high level Dems acknowledge that Bush tried to push it through. I think they are blaming the members of congress.
From talking to someone who works in the financial arena, my thoughts are the bailout is a terrible thing but it has to pass because the longer it stays in limbo the more it will affect the Stock Market. It dropped around 700 points. We have probably lost about 20% or more of our retirement. ouch.
I hope that everyone realize that our precious government (congress I believe) is the one who put us in this situation to start with by making bank, morgage companies, etc give loan to people who should not have gotten them. And once again with this bailout the government is going to screw things up again. If Kyle and I ran out household finances like the government we would have been bankrupt a long time ago. I take that back, because I know that the government who have taken care of us.
The Government made the banks and mortgages companies give people loans? They forced them too? Are you sure?
How can they do that? Is that legal?
Teresa,
Congress put pressure on Banks and Mortgage companies to give loans to people with bad credit. I am sure you have hear of the "no credit, bad credit, no problem" Anyone in their right mind would not give out no money down loans. Did you know that some of the companies were giving 125% loans as 2nd mortgage. That is crazy. Most of these happened in low income areas because they wanted to make sure people could have a house to live in. All of those 2nd mortgage loan to consolidate debt were a big part of that too. 2nd mortgage were designed to help people to get money for remodeling or adding to their home, NOT to pay off bad debt. Anyway, many of these loans were bad debt because the people who took them, some of them did not even have jobs and it was not legal to do a check to see whether of not those people had jobs, so those loans never got repaid.. I know of a company that I use to do their books for which was one of them, they had 1 mortgage loan, 1 2nd mortgage loan and a business line of credit loans. The interest on those loans were over $12,000 and they did not always make enough business income to even cover that. Now we are asked to bail these companies who went bankrupt because of that. Stupid government!!!
Isabelle is correct. The government pressured banks and financial institutions to make the loans, and Freddie Mac and Fannie Mae were only too happy to help this process along because their executives got bonuses based on the performance of the company. The banks thought that since the government was backing these mortgages everything would be ok, but it turned out that Freddie Mac and Fannie Mae had cooked their own books to ensure they the executives got their bonuses. So guess who got left holding the bag? The banks. Now the banks and other financial institutions are going belly up and the government wants to take our tax money and save the banks, etc.
Here's the process:
Government causes problem, government borrows money from our children (future taxpayers) to solve problem. Banks happy, government pats self on back and hands bag of #$@% to taxpayer.
Well that all sucks! So what are the consequences if the government doesn't bail them out (with our tax money)?
Bankruptcy for banks and other financial institutions who are holding these bad mortgages and loans. Normally, that would be the natural course of events except for the size and magnitude of the situation.
The FDIC would cover any deposits up to $100,000, so you won't directly lose any money, but it makes one wonder where the government gets the money to pay any claims to the FDIC. The government doesn't have any savings. The politicians have spent every last penny, including Social Security, Medicare, Medicaid, etc. So where does the money come from. Ah yes! The every trustworthy taxpayers, their children, their children's children, and so on!
You forgot. They can always print more money.... See Teresa, sometimes I do know what I am talking about. By the way, check out my next comment. Remember I have a son named Max and my last name is Horrocks. Check it out!!
Yea, I already saw it and I figured it out. Forget Max, you should run! Isabelle for President!
Can't run for President. I was not born in this country. Someone today told me to run for city mayor. I'll just stick to PTA stuff.
Post a Comment