Bailout deal breaks down.

[alhoon]

http://news.yahoo.com/s/ap/20080926/...ncial_meltdown

Ouch.

OK, perhaps it's selfish for me to want the American people to pay 700 Billion$ so the Crisis would end sooner, but I want the crisis to end sooner.
What was the public opinion on the bailout? Did the majority of the citizens wanted the goverment to give 700$ billions? Did they disagree?

Also it seems strange that the Republicans were strongly against the deal. I would think that Bush administration would have asked their own party first, before offering a deal.

[Incontinenta Buttox]

Let the greedy bankers go to hell!

If a systen needs a $700 billion hit for a temporary fix, it is broken beyond repair.

There are many of us who do not fear a lengthy and deep recession. We welcome it, because it will not only punish those most responsible for it, but hardship and want will teach this shallow, feckless age that it is time to ditch debt-fuelled consumerism in favour of embracing eternal value.

The sort of values which this and the preceeding generation have laughed at and trampled upon, but which our British ancestors honoured even as they built a great global empire and brought genuine prosperity and the chance to better yourself, to many.

What if the bankers got their $700 billion. Does anyone think they show any restraint and not award themselves billions in bonuses next year. They need to pay for their greed. Everyone else is going to have to.

[alhoon]

There are many of us who do not fear a lengthy and deep recession. We welcome it, because it will not only punish those most responsible for it, but hardship and want will teach this shallow, feckless age that it is time to ditch debt-fuelled consumerism in favour of embracing eternal value.

Are you sure you want your fellow Americans to lose their jobs? It's not the 600-700 elite that will pay the price... it's the tens of thousands that will lose their jobs as banks change hands.
And a recession means that more businesses will close up. It's easy to underestimate unemployment when you're comfortable as someone else's problem. I had unemployed friends though, and I have to tell you that unemployment sucks.

[Xan]

By bailing them out you are taking the worst aspects of both laissez faire and socialist models. You are rewarding bad business practices what is required is to let these businesses to go down and then put in more heavy regulations on their practices.

It seem a bit stupid, socializing bad company but letting the private sector keep the good company so that the rich will stay rich wile the country takes the bill when things go wrong.

[Plan C]

There are many of us who do not fear a lengthy and deep recession. We welcome it, because it will not only punish those most responsible for it, but hardship and want will teach this shallow, feckless age that it is time to ditch debt-fuelled consumerism in favour of embracing eternal value.

The sort of values which this and the preceeding generation have laughed at and trampled upon, but which our British ancestors honoured even as they built a great global empire and brought genuine prosperity and the chance to better yourself, to many.

These perhaps seem like harsh words but I really do think you're right on this one. I'm worried sick about what's happening to Britain right now and I hope that whatever curbs our rampant consumption is beneficial to this country.

[Thanatos]

The bankers can kiss my ass. I'm glad the deal is breaking down.

[danzig]

If something is broke you fix it. Sorry but the 700billion dollar pricetag seems to be one we need to pay. I dont see it as bailing out bankers but bailing out ourselves, this mess wasnt created by one side or allowed to happen by one political party. The medicine taste horrible but you still gotta drink it and that is imo the situation here. Hell long term it probably pays for itself as economy rebounds. What I want to see is Republican and Democrat to knock the crap off and settle on a plan...this isnt the time to play a game of gotcha to try and score political points so grow a pair Dem and Republican and stop trying to act like this mess happened because the other side caused it.

[Aetius]

Its a tough call really. It may hurt more in the short term to not bail-out the bankers, but in the long run it will strengthen our economy by standing by our lasieze-faire core and promoting succesful business practices.

And besides, thats a horrendous amount of money we cannot afford. Its like 2300 dollars per American citizen. And yes, that bum you see on your way to school/work every day is an American citizen, guess who is paying for that guy?

[Ketzerfreund]

They even had the audacity to ask other countries for some of this money. Our German minister of finance argued "They didn't go with us when we asked for more regulation and now they want us to pay for their follies?" - one guy then said: "Well, that's Americans. *shrug*"


-Der Ketzerfreund.

[Captain Blackadder]

By bailing them out you are taking the worst aspects of both laissez faire and socialist models. You are rewarding bad business practices what is required is to let these businesses to go down and then put in more heavy regulations on their practices.

[Sidmen]

Anyone find it funny that we're being asked to borrow money to pay for others' ineptitude in lending money?

The money they're asking for doesn't exist - we can't pay for it if we wanted to. $700,000,000,000 is well more than 1/3 the government's yearly budget, a budget that is already in the red by billions a year. This, my friends, is called bankruptcy.

[Viking Prince]

The real problem is that we do not know the details to the problem nor the details to the proposed solution. We do not even know what altenatives have been rejected. If we must decide based on the people involved, I am skeptical of both sides of the aisle, but the Republicans in the US House are really suspect if they had truly let the others think that agreement was near and then completely pull the plug.

[The King Of Peasants]

We should just kill the Corporate tax for a few years... I am glad the republicans are showing backbone!
At least according to senate republicans no alternatives have even been considered so now hopefully they will be.

[Erlinggra]

Let the corrupt and greedy bankers die, crybaby capitalism doesn’t work in the slightest.

[Chaigidel]

notice it broke down when mccain arrived.

[The King Of Peasants]

Aren't you the one who says we should kill rich people...:hmmm: Anyways I just realised now why McCain did it. If he can get everyone to agree to a different deal while obama is on an empty stage in ms then he ties Obama to Bush and makes him look like he doesn't do the dirty work which kinda reinforces fears and would be great campaign fodder! Also they need to do something so if they can put up a road block till a compromise this could be a killer move!

[Viking Prince]

notice it broke down when mccain arrived.

Nope -- it broke down when the sun was at high noon. It is the sun's fault.

[Incontinenta Buttox]

Back in the UK.

The Tories will sweep into power for a generation if they can show that it was Govt in US & UK who are most responsible for creating the conditions for this crisis - not the 'short-term sellers' (he can't even get the name right) whom The Prime Mentalist Brown blamed on Sunday, and also not primarily the greedy scum in Wall St and the City (although they are certainly not blameless).

The fundamental problem was an over-large increase in the money supply, in US & UK (and elsewhere). This money had to go somewhere. Not much went into the stock market following the dotcom crash and 9/11, and unlike the 70s only part (thank you, China) went into a general increase in prices (which until recently were quite benign.

Helped by low interest rates, some really stupid legislation in the US, and general cheerleading by Govts it went into a housing bubble. This has now crashed, creating problems in credit markets and triggering problems in the derivatives market, which together have imperiled banks around the world, but especially in US & UK.

Exacerbating all that was huge deficit spending by Govts, so that the public finances are as stretched as private finances. So, our problems were mostly created in The White House and Downing Street - nail that and the Tories will have nailed the utterly useless Brown.

What to do? Restrain growth in money supply and restrain Govt spending are the places to start. That will trigger the recession we should have had around 2002, now grown much worse by being delayed. To satisfy the need for vengeance against the greedy City Slickers (a quite valid but less important aim in my view) start by framing legislation requiring funds (mutual, pension etc) to protect their investors' deposits by much greater scrutiny of renumeration in the companies in which they invest depositors' money. Pass regulations to introduce a criminal offence of 'reckless endangerment' of depositors' funds to be applied to anyone handling other people's money.

[Valiant Champion]

Why is it that everytime lately when Wall street panics the price of oil goes down?? I say let the stock market crash!! What we loose in getting credit we will make up for with cheap gas. Even Wholesale gas is going down in price now.

Plus while the rest of the world goes into chaos through the Domino effect we will be the first to recover.

notice it broke down when mccain arrived.

It was already breaking down. The republicans were listening to the tax payers concerns. The Democrats werent. McCain came into the situation to find out why his party was not going along with the plan.

The announcment by "certian" democrats that the plan had when worked out in principle was a full blown lie and they knew it.

[pwf224]

For the deal to work it needs to be able to both punish the CEO's and other peope responsible in the faulty companies by making them bear a large chuck of the burden, while at the same time keeping the middle and lower classes from paying through the as$. It was not the taxpayers who created this mess, although they had a part in it, the top men of the companies who practiced these irresponsible business models should be heavily punished.