Actually what Japan finally figured out after multiple stimulus packages, bailouts, and stagflation, was that the best solution was to create a federal bank depository for all of the toxic assets (like land with a loan of 1 million but a market value of 400,000) and pull them from all the affected banks. Do not bail out the banks directly with cash. This allowed the banks to show clean profitable balance sheets almost right way. As the assets regain value they are purchased by stable business's for new investments and use.
This is also exactly what Reagan did in the 80's after the S and L crash. Its also why we recovered from that mess rather fast.
The question is, why hasn't this happened? Its cheaper, fixes many (not all) of our problems very fast, and allows us to move forward. As it stands now companies are still holding these toxic assets and another blip in the economy and we crash again.
Last time I checked "FDIC Insured" just had to do with insuring savings accounts up to a certain amount of money. The federal receivership would have happened either way.
Had the large banks been allowed to fail, while the FDIC may not have had enough funds to back the deposits I am sure it would have taken less than the 170 billion in TARP funds to shore up the FDIC. Not to mention then it would have been tax payer dollars directly backing tax payers with little to no waste in between.
To make matters worse, these large banks are fairly interconnected, which means if even a couple major banks were to go under, it would have caused problems for anyone who it owed money to, including all the other banks. Letting a company like CitiGroup go under would cause a chain reaction that would cause lots of other banks to go under.
This is a load of Carp, if I may say. CitiGroup has plenty of good solid assets (stable home loans, properties, etc) that would be sold off to other companies that currently compete directly with CitiGroup. The competitors should be allowed to benefit from CitiGroup's poor business practices, and be rewarded for proper business practices. Otherwise whats the point?
Where does it end? Where's the line of what should be provided by the government and what shouldn't? When are taxes too high? When should you no longer expect government support?
More federal taxes for Schools
More federal taxes for Health Care
More federal taxes for Social Security
More federal taxes for Medicare
More federal taxes for Medicaid
More federal taxes for Federal Parks
More federal taxes for Government bailouts
More federal taxes for Unemployment Aid
More federal taxes for Fannie and Freddie
More federal taxes for.......
Again I ask, where does it end? When is enough, enough?
in agreement on Global Warming being caused by humans.
Gee for a topic that actually isn't agreed on by all scientists, and that apparently could be riddled with faked or misinterpreted data we get told all day long that we are heathens if we don't believe the empirical scientific evidence. In fact if we don't tow the scientific line we must be dolts and shoved to the side as nutcases.
Matter of fact we are about to make trillion dollar "Green" Cap and Trade laws all based on this Scientific Evidence, the heck with the evidence to the contrary.
I would say that by today's standard not knowing your website "number" is at least as dumb if not dumber than misspelling a word.
And Quayle never made the racist remarks that Biden has http://www.youtube.com/watch?v=Ll_goH-aivU.
I would bet your off by about 20,000.00 a year for an engineer salary.
Either way, these are the numbers you have to start crunching when you live in the bay area.
Hmmmm:
2 engineers make 120,000.00 together
7,500.00 Net
-1,425.00 day care for 1 kid
-2,500.00 Mortgage
-1,000.00 food
- 500.00 heath insurance
- 250.00 car insurance
- 400.00 gas
- 400.00 misc utilities
- 350.00 misc baby items (diapers, clothes, etc)
_________
675.00 Net a month
Woohoo livin the high life in the bay area:) Of course with the increase in day care.....
Livin in the Bay Area = Priceless oops I mean Bankruptcy.
Slashdot Mirror
Actually what Japan finally figured out after multiple stimulus packages, bailouts, and stagflation, was that the best solution was to create a federal bank depository for all of the toxic assets (like land with a loan of 1 million but a market value of 400,000) and pull them from all the affected banks. Do not bail out the banks directly with cash. This allowed the banks to show clean profitable balance sheets almost right way. As the assets regain value they are purchased by stable business's for new investments and use.
This is also exactly what Reagan did in the 80's after the S and L crash. Its also why we recovered from that mess rather fast.
The question is, why hasn't this happened? Its cheaper, fixes many (not all) of our problems very fast, and allows us to move forward. As it stands now companies are still holding these toxic assets and another blip in the economy and we crash again.
Last time I checked "FDIC Insured" just had to do with insuring savings accounts up to a certain amount of money. The federal receivership would have happened either way.
Had the large banks been allowed to fail, while the FDIC may not have had enough funds to back the deposits I am sure it would have taken less than the 170 billion in TARP funds to shore up the FDIC. Not to mention then it would have been tax payer dollars directly backing tax payers with little to no waste in between.
To make matters worse, these large banks are fairly interconnected, which means if even a couple major banks were to go under, it would have caused problems for anyone who it owed money to, including all the other banks. Letting a company like CitiGroup go under would cause a chain reaction that would cause lots of other banks to go under.
This is a load of Carp, if I may say. CitiGroup has plenty of good solid assets (stable home loans, properties, etc) that would be sold off to other companies that currently compete directly with CitiGroup. The competitors should be allowed to benefit from CitiGroup's poor business practices, and be rewarded for proper business practices. Otherwise whats the point?
I have a simple question for you.....
.......
Where does it end? Where's the line of what should be provided by the government and what shouldn't? When are taxes too high? When should you no longer expect government support?
More federal taxes for Schools
More federal taxes for Health Care
More federal taxes for Social Security
More federal taxes for Medicare
More federal taxes for Medicaid
More federal taxes for Federal Parks
More federal taxes for Government bailouts More federal taxes for Unemployment Aid More federal taxes for Fannie and Freddie
More federal taxes for
Again I ask, where does it end? When is enough, enough?
in agreement on Global Warming being caused by humans. Gee for a topic that actually isn't agreed on by all scientists, and that apparently could be riddled with faked or misinterpreted data we get told all day long that we are heathens if we don't believe the empirical scientific evidence. In fact if we don't tow the scientific line we must be dolts and shoved to the side as nutcases. Matter of fact we are about to make trillion dollar "Green" Cap and Trade laws all based on this Scientific Evidence, the heck with the evidence to the contrary.
I would say that by today's standard not knowing your website "number" is at least as dumb if not dumber than misspelling a word. And Quayle never made the racist remarks that Biden has http://www.youtube.com/watch?v=Ll_goH-aivU.
I would bet your off by about 20,000.00 a year for an engineer salary.
:) Of course with the increase in day care.....
Either way, these are the numbers you have to start crunching when you live in the bay area.
Hmmmm:
2 engineers make 120,000.00 together
7,500.00 Net
-1,425.00 day care for 1 kid
-2,500.00 Mortgage
-1,000.00 food
- 500.00 heath insurance
- 250.00 car insurance
- 400.00 gas
- 400.00 misc utilities
- 350.00 misc baby items (diapers, clothes, etc)
_________
675.00 Net a month
Woohoo livin the high life in the bay area
Livin in the Bay Area = Priceless oops I mean Bankruptcy.