reply to post by Relentless
What they might have done is just put a moratorium on resetting the sub-prime market (give everyone a REASONABLE fixed rate and maybe even more years
to pay it). But it's too late now.
that would have been just too sane!! I mean, it's a much better solution to kick the presses into overdrive printing money to enrich your buddies,
let the values of ALL the houses plummet, drive up the cost of living for EVERYONE.....and well, those buddies that you protected and bailed out can
go back and buy these houses for dollars....ya, I know the dollar sale house was an anomoly....lol...but still....they will be getting the houses
under their value now. and not only that, it's not only gonna be the subprimers now that are being kicked out of their homes. as the cost of living
is driven up, and the fed sees the lack of decent jobs as a silver lining....
( God economics 101 really sucks!! does it even give a clue as to what happens when the cost of living get so far ahead of the wages that the wage
earners end up homeless, hungry, and with no gas in their car to get to work??)
well, anyways, back to my main topic here.....
thier actions has driven up the cost of living, you can forget about the wages going up to make the difference. state and local government are now
gonna have to readjust their appraisals for the lower values of homes, they are gonna have a shortfall, and the property taxes will rise....and the
end result is that it will be more than the subprimers that get burned in this. and well, those that rent homes and apartments are getting burned now
also, the inestor that rented them their home are now in foreclosure, and the banks are seeing fit to kick them out instead of letting them stay and
giving the bank the rent check (like I said, the banks and such have been bailed out, by the taxpayers, what do they care if they make any more money
out of these houses.) add to that that a couple companies have already made plea deals concerning these mortgages, and well, I think we still have
the turmoil of all alot of these mortgages coming back home to the originator of the loan to roost.
again, I like to point out the sequence of events that led up to this nice scheme......if I am wrong, please correct me.
bush started two massive, long extending wars....and about at the same time decided to give his buddies a nice deep tax cut!!
this created a shortfall in the budget, which he made up by just not giving the states the federal share of the cost of those programs mandated by the
federal government......ya know medicaid, medicare, ect.
so, he passed the shortfall onto the state and local governments.
which the state and local governments had to make up and mostly they chose the property taxes to increase.
which led to what was close to a taxpayer revolt!!
so, bush and greenspan started spouting the "ownership society" and exalting these subprime loans that the greatest things in the world!
and people bit! the values of the real estate began to climb, thus the appraised values did...the revenue for the state and local governments began to
take care of their shortfall, and then, low and behold.....the state and local governments were reporting great surpluses!! everyone was
happy....homeowners had lots of equity in thier home which they could (and idid) draw out and use. the governments were, the banks were, hey,
according to some, our economy was doing great!!!
ya, then the great illusion fizzled, since it was all based on deception, fraud, and manipulation!
and we are here.
if anyone doesn't think that this wasn't a planned, orchestrated ripoff of the american people, well....I think you need to look at the facts
again, what does economics 101 give as the solution as to when the cost of living goes so far above the means of the average wage earner that he no
longer is able to work? do they die out, leaving the business community with no workers? does the government step in and use taxpayer money to keep
them going? do we allow cardboard shanties to be built just outside of our cities? just what?