Recession? We don' need no steenkeen recession!

catocom

catocom

Well-Known Member
I believe McCain is partially right about the economy fundamentals though.
My work is booming. I'm covered up.:aheadbng:
 
MrBishop

MrBishop

Well-Known Member
catocom said:
not IMO
butting out means not doing anything...regulating, or deregulating.

But like I said, The Reps/cons aren't adhering to that philosophy.
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Unfortunately, not doing anything while expecting different outcomes doesn't work.

If you reign in the marketplace too much through regulation, you risk stagnating growth. If you deregulate it too much, you invite corruption for the sake of profits.

The regs written in the 1030's don't apply anymore in an international marketplace and neither does the ideology of a fair playing field.
 
catocom

catocom

Well-Known Member
MrBishop said:
Unfortunately, not doing anything while expecting different outcomes doesn't work.
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It does if you have ethics oversight.
Hence my comment about Barney. What a piece of shit he is.
I guess everybody is too afraid of being labeled a homophobe to mess with him.

The current regulation, or former was good for a long time. It's not the regulation, it's the breaking of laws, and I believe there will eventually be prosecutions.
 
2minkey

2minkey

bootlicker
well i was just watching CNN and mccain got grumpy about short selling. he sounded like he had just learned what it was, or thought his audience was too stupid to leave the term unexplained as he stumped along.

both are probably true.
 
catocom

catocom

Well-Known Member
another reason I'm still leaning toward Bob Barr.
I disagree with about as many things with either, but much less important issues with Barr.
I just can't get past McCain/Kennedy.
 
MrBishop

MrBishop

Well-Known Member
Hold tight!
NEW YORK (AP) -- Wall Street's biggest crisis since the Great Depression forced the Federal Reserve and central banks in other countries to pump billions of dollars into the world's banking system in an urgent bid to stop further damage.

b

The Fed plowed as much as $180 billion into money markets overseas. At home, the New York Federal Reserve acted to ease a spike in overnight lending rates by injecting $55 billion into the banking system.


Wall Street initially rallied, but it shed the gains and traded mostly lower by midday. Treasury securities and gold soared as investors fled to their relative safety.
Worries about even the safest investments intensified as Putnam Investments suddenly closed a $15 billion money-market fund after institutional investors quickly pulled out cash.


And the two remaining major Wall Street investment banks -- Goldman Sachs Group Inc. and Morgan Stanley -- were under siege.


President Bush canceled an out-of-town trip to stay in Washington and to huddle with Treasury Secretary Henry Paulson. Bush pledged to do all that was necessary to stem the crisis, whose fallout threatens the already fragile economy.
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MrBishop

MrBishop

Well-Known Member
Bump
The market explodes upwards as CNBC's Charlie Gasparino reports that the federal government may create a big garbage can that banks can shovel all their balance sheet crap into. Morgan Stanley and Goldman Sachs have recovered entirely.

CNBC reports that Paulson is shopping a proposal to members of congress that would closely resemble the Resolution Trust Corporation which helped resolve the S&L crisis in the 80s.

If the new facility operates similarly to the RTC, it will use federal funds to guarantee a pool of bad assets, and then seek private sector equity partners for particular pools to help liquidate them.

No word on how much the plan will cost taxpayers, or what sorts of prices the government might acquire the securities for (and, therefore, how much money the banks and brokerage firms would have to raise). If the government's going to save the day, can Merrill Lynch back out of its Bank of America deal?
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Link
In plain English - Your tax money will bail out the banks bad-debts.
 
MrBishop

MrBishop

Well-Known Member
In plainer English - The RTC in the 80's were there to take all the insolvent (hard to liquidate) debts onto itself and sell them off for whatever it could get - with the tax-payer making up the difference. This mostly involved houses, mortgages, businesses, land etc... other things that are hard to get rid of during bad markets.

So..the RTC foreclosed and sold (often at a loss) instead of letting the banks do it, and face a run.
 
jimpeel

jimpeel

Well-Known Member
2minkey said:
either word puts the meaning across, and you are correct in that "defer" would normally be the convention. but... "default" was used intentionally because of the nature of the conversation, about financial woes, genius. you missed the joke. next time, think about context before you get your panties all twisted, ummkay? maybe next time i'll italicize the "fun word" so you stand a better chance of getting it.
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I got it and rebutted your joke by yanking your chain. No panties. No bunch.
 
Gonz

Gonz

molṑn labé
Staff member
2minkey said:
i've wondered about this question. every bone in my body says more regulation is wrong. yet more regulation may have prevented the current crisis. but, then, where would where our economy have been, historically and to this point, with more regulation?
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Specualtion is so much fun.

With more reguation, we'd have had oversight from a Congressional staff that can't manage to get phone messages right running something that's "too big to fail". There is, already, tons of regulation. It means nothing when the CEO comes in & cooks th ebooks so he & his buddies can get their X-mas bonus for hitting numbers that they didn't hit & then re-figuring the books & calling it an adjustment.

Bad management is bad management. Where are the prosecutors?
 
Cerise

Cerise

Well-Known Member
MrBishop said:
I said 'hold tight' - the market's going to bounce around. Up and down in big-ass shifts for a bit, eh.
It DJIA opened up 1000points, on rumors alone.
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As of now it looks like it made up the 1000 pt. loss......

Wall street likes what GW had to say.
 
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