Comments on: The 700 Billion Dollar Bailout http://www.joetaxpayer.com/the-700-billion-dollar-bailout/ Financial Commentary For The Average Joe Thu, 09 Feb 2012 00:23:50 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Dave http://www.joetaxpayer.com/the-700-billion-dollar-bailout/comment-page-1/#comment-1441 Dave Sat, 27 Sep 2008 12:34:08 +0000 http://www.blog.joetaxpayer.com/?p=532#comment-1441 I believe this situation is strikingly similar to the S&L crisis of the late 80s and 90s. The government ended up making money on those takeovers because they were buying assets that no one else wanted. So there is the chance that the same situation will recur with the current bailout. I believe this situation is strikingly similar to the S&L crisis of the late 80s and 90s. The government ended up making money on those takeovers because they were buying assets that no one else wanted. So there is the chance that the same situation will recur with the current bailout.

]]> By: JOE http://www.joetaxpayer.com/the-700-billion-dollar-bailout/comment-page-1/#comment-1434 JOE Fri, 26 Sep 2008 20:26:22 +0000 http://www.blog.joetaxpayer.com/?p=532#comment-1434 Augustine - I think that the process of securitization created a situation where products were created where the quality of the underlying assets are now simply unknown. I believe we are in the opposite of the bubble mentality, we are in a state where the market doesn't know how to price these assets at all. The government is buying these assets at pennies on the dollar, and once they sift through and separate the wheat from the chaff, the bailout will not be the loss that many fear. Will the money be somehow returned to the taxpayer? I doubt it. But I think the impact to the national debt will be minimal, and likely, positive. Time will tell. I agree with you in that I cannot 'know' this, I am just stating my gut feelings. Joe Augustine – I think that the process of securitization created a situation where products were created where the quality of the underlying assets are now simply unknown. I believe we are in the opposite of the bubble mentality, we are in a state where the market doesn’t know how to price these assets at all. The government is buying these assets at pennies on the dollar, and once they sift through and separate the wheat from the chaff, the bailout will not be the loss that many fear.
Will the money be somehow returned to the taxpayer? I doubt it. But I think the impact to the national debt will be minimal, and likely, positive. Time will tell.
I agree with you in that I cannot ‘know’ this, I am just stating my gut feelings.
Joe

]]> By: Augustine http://www.joetaxpayer.com/the-700-billion-dollar-bailout/comment-page-1/#comment-1432 Augustine Fri, 26 Sep 2008 19:55:05 +0000 http://www.blog.joetaxpayer.com/?p=532#comment-1432 Since when does the taxpayer see any return on government profits? Since not even Barnanke knows the cost nor the benefit of this $700B bail out, how can you suppose to know? Then again, it's the same Barnanke who said that after baling out AIG everything would be just dandy, so why listen to this guy and his idea of a bail out? Do I have to remind you of another $150B "bail out" towards the taxpayer earlier this year with no results to show? Bailing out is more than a wrong idea, it's immoral to propose to help one industry at the cost of the GDP of most countries on earth. Since when does the taxpayer see any return on government profits? Since not even Barnanke knows the cost nor the benefit of this $700B bail out, how can you suppose to know? Then again, it’s the same Barnanke who said that after baling out AIG everything would be just dandy, so why listen to this guy and his idea of a bail out? Do I have to remind you of another $150B “bail out” towards the taxpayer earlier this year with no results to show? Bailing out is more than a wrong idea, it’s immoral to propose to help one industry at the cost of the GDP of most countries on earth.

]]> By: JOE http://www.joetaxpayer.com/the-700-billion-dollar-bailout/comment-page-1/#comment-1431 JOE Fri, 26 Sep 2008 17:00:47 +0000 http://www.blog.joetaxpayer.com/?p=532#comment-1431 Well, I think it needs to be discussed..... As in, "This CEO was obligated to personally sign the annual audits, per Sarbanes-Oxley. We need to have a five year look-back on his compensation and retrieve 100% of the money he was paid. These CEOs were part of the problem, having either encouraged these bad practices, or being oblivious to them. They shouldn't be allowed to keep that compensation when their actions were so egregious." That more like what you were thinking? Joe Well, I think it needs to be discussed…..
As in, “This CEO was obligated to personally sign the annual audits, per Sarbanes-Oxley. We need to have a five year look-back on his compensation and retrieve 100% of the money he was paid. These CEOs were part of the problem, having either encouraged these bad practices, or being oblivious to them. They shouldn’t be allowed to keep that compensation when their actions were so egregious.”
That more like what you were thinking?
Joe

]]> By: Anon http://www.joetaxpayer.com/the-700-billion-dollar-bailout/comment-page-1/#comment-1429 Anon Fri, 26 Sep 2008 15:57:06 +0000 http://www.blog.joetaxpayer.com/?p=532#comment-1429 Comments: Why should my hard earned money go toward a CEOs retirement? Define "execessive executive compensation" would 50mm be excessive, 40mm, 10mm? I had to close my business down due to the economy,, I want my executive compensation too!!! Why is executive compensation even being discussed? Comments:

Why should my hard earned money go toward a CEOs retirement?

Define “execessive executive compensation” would 50mm be excessive, 40mm, 10mm?

I had to close my business down due to the economy,, I want my executive compensation too!!!

Why is executive compensation even being discussed?

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