It is an INVESTMENT NOT a Bailout 2 !!!!!

[tiznow]

yeah that falls under the liberal in lifestyle category

 

[cussin'it]

i think it (the bailout) needs to be done and i think much of what he (Bush) says (and the guys on fast money said earlier) is true....it may not be true capitalism but they (us govt) need to step in to get the flow of credit going again and they are the only ones capable of doing it....

having said that my biggest gripe is the overall deficits and how they continue to grow...if we weren't always up to our head in debt the 700B would have been a drop in the bucket...eventually that is what will take us down...the fuc-king assholes in DC need to severely start addressing THAT issue or like Ron Paul says, this will all end badly....

just my 2cents...feel free to pick me apart im just a regular CNBC watcher and not an economist by any means...

Bush is the biggest bullshit artist of our time next to Billy Boy.

Wouldn't trust a thing that comes out of his piehole, he hasn't earned it.

:howdy:

 

[HuskerFan1]

oh i CANT stand Bush...and he is not smart enough to write that speech...he just repeated it off the prompter....LOL

 

[C-Gold]

Government intervention. The REAL REAL REAL key to the fall of the Roman empire was price controls and the debasement of the currency. There were Gold coins that were Bronze, there were chunks of coins missing, edges graded off etc. Greshams law.

It is real easy to see physically see inflation when you see 1/4th of your coin missing, but now we have the Federal Reserve stealing our paper money too. 1 dollar has lost 97% of it's value since the Fed took over and that is THEFT. That is unnatural. Governments never "invented" money. Capitalists are always a step ahead of the crooks and looters in government.

The Roman empire was a huge buracracey. It was so damn big and inefficient, you actually had wars between different parts of the empire.

Government intervention...

Obama 08 = United Socialist States of America.

 

[Preussen]

Even if the government were to break even, it would be deemed a success because it would help the I banks get through this... and provide future jobs, revenue, tax dollars etc.

Exactly. IF.

I'm not an expert on these things, but if this were an opportunity where even the inefficient government could break even I'd expect lots of smart investors rushing in to make a private "bail-out".

 

[Railbird]

yup get it over with now is what i say 7

cause the more powers we give to government the worse its gonna get over the long haul

banning shorts is 3rd world economy shit
nationalization of housing is 3rd world economy shit
nationalization of insurance companies is 3rd world economy shit
nationalization of bad debt is 3rd world country shit

therefore over the long haul

we will be rewarded with a 3rd world economy

You can replace the phrase "3rd world economy shit" with NWO- 1 World order-antichrist shit, because that is what it is, and has been coming for some time. And its been coming BY DESIGN, by the perputrators. The perps being the central banks and the "luciferians".

 

[C-Gold]

Exactly. IF.

I'm not an expert on these things, but if this were an opportunity where even the inefficient government could break even I'd expect lots of smart investors rushing in to make a private "bail-out".

The firms themselves are huge investers. The problem is none of them have any liquidity and the market has dried up.

Warren Buffet is the richest guy on earth, but he doesn't have anywhere close to 700 bil, but he did say if he could buy 900 billion to buy this stuff that he would, and that he would expect to make huge profits. 15 to 20 percent, and at worst 10 percent.

The stock market historically makes 10 percent per year, if Buffet could get 15 to 20 percent those returns are pretty damn good.

 

[Preussen]

The stock market historically makes 10 percent per year,

The whole market makes, on average, 10% per year? That's hard to believe.

 

[BetIt]

Someone screwed up the messaging with this one.

Should have used a better word than "bailout"

 

[C-Gold]

The whole market makes, on average, 10% per year? That's hard to believe.

The American stock market's historically return is 10% over the last 100 or so years.

 

[Preussen]

.

 

[steaktartar]

These words are coming for the world's richest man. He is worlds saviest, smartest, and greatest investor of all time and an influence on my life... Warren Buffet.


- Well, there's just no telling what would happen. Last week we were at the brink of something that would have made anything that's happened in financial history look pale. We were very, very close to a system that was totally dysfunctional and would have not only gummed up the financial markets, but gummed up the economy in a way that would take us years and years to repair.

- I'm not saying the Paulson plan eliminates those problems. But it was absolutely, and is absolutely necessary, in my view, to really avoid going over the precipice.

- Yeah, well, it's everybody's problem. Unfortunately, the economy is a little like a bathtub. You can't have cold water in the front and hot water in the back. And what was happening on Wall Street was going to immerse that bathtub very, very quickly in terms of business. Look, right now business is having trouble throughout the economy. But a collapse of the kind of institutions that were threatened last week, and their inability to fund, would have caused industry and retail and everything else to grind to something close to a halt. It was, and still is, a very, very dangerous situation.

... you have all the major institutions in the world trying to deleverage. And we want them to deleverage, but they're trying to deleverage at the same time. Well, if huge institutions are trying to deleverage, you need someone in the world that's willing to leverage up. And there's no one that can leverage up except the United States government.

... if they do it right, and I think they will do it reasonably right, they won't do it perfectly right, I think they'll make a lot of money. Because if they don't -- they shouldn't buy these debt instruments at what the institutions paid. They shouldn't buy them at what they're carrying, what the carrying value is, necessarily. They should buy them at the kind of prices that are available in the market. People who are buying these instruments in the market are expecting to make 15 to 20 percent on those instruments. If the government makes anything over its cost of borrowing, this deal will come out with a profit. And I would bet it will come out with a profit, actually.

no investment

 

[steaktartar]

7, you know for damn sure this is an investment and not a handout.

Even if the government were to break even, it would be deemed a success because it would help the I banks get through this... and provide future jobs, revenue, tax dollars etc.

Buffet thinks it will make money, but the enraged and ignorant masses think uncle sam is writing Wallstreet a 700 billion dollar check... that isn't the case. It is a fucking trade.

the investment........POOFED

 

[SmallDaddy]

How is it an investment when mortgages in default total to about 150 billion yet the BAILOUT MONEY is 700 billion?????

 

[BetIt]

The messaging of this whole thing has been borderline retarded.

Who thinks labeling something a bailout is a good thing

 

[C-Gold]

The messaging of this whole thing has been borderline retarded.

Who thinks labeling something a bailout is a good thing

It is only a "bail out" because that is what the Liberal media is calling it. It is an "investment", not a "hand out", or "bail out".

The government isn't "giving" money to anybody. They are trading... money for assets, just like you would trade cash for stock in Microsoft.