Just for the hell of it, I've called around to my buddies in the banking biz and asked if I could get a mortgage and a car loan. The answer is YES. Without a 20 %
down payment 30 year fixed rate mortgages are available. Car loans are ranging
from 6 to 8 % with 10 % down on new cars. So just where is this lack of lending ?
Then I called my bank and asked if I could expand my line of credit. "Yes".
This debt crisis is looking more and more phony by the minute. The Libs love it because it expands government control overt the economy. Wall Street and the banks love it because they are getting more easy money. We are literally giving more money to the very people that screwed up the last time. More booze for the drunk; more heroin for the addict; MORE MONEY for the GAMBLERS to play with in Vegas ! More money for the borrowers who still haven't paid back the last loan.
We're told the purpose of this is to prevent a recession. Yesterday's news made it clear we have been in a recession for the last couple of months.
Look at who is pushing this - Hank Paulson. DEMOCRAT from Goldman Sachs. Knows how to move wealth around but NOT how to create it.
Ben Bernanke- Academic. Never ran so much as a lemonade stand in his life.
Chris Dodd - Recipient of sweetheart mortgage deal from Countrywide and campaign funds from Fannie and Freddie execs.
Chuck Schumer
BARNEY FRANK- Saturated with responsibility for the sub-prime lending mess.
Warren Buffet- I like Warren but he's heavily invested in Goldman Sachs and owns GEICO outright. He lives and dies on Wall Street. Although in a moment of intellectual honesty he admitted that buying preferred stock at a discount and with certain concessions would work just as well OR BETTER than the current plan.
Who does NOT support this ? Let's leave out doctrinaire Conservatives in both houses and cheerleaders like Gingrich; Limbaugh and Monica Crowley. Forget about 400 economists signing a letter saying: "don't do it." How about successful businessmen like Donald Trump ( who I heard PREDICT this mess 5 (FIVE) years ago ); Steve Wynn ; Arthur Laffer. They oppose this plan. Trump and Wynn both say- Buy preferred stock in the healthiest of the healthy and let them clean up the mess.
Wall Street doesn't seem to like this plan all that much. As I type ( 2:15 EST) the Dow is down 283 points. The Asian Markets were down. The futures markets were down AFTER Senate passage.





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