posted on May, 28 2009 @ 07:20 AM
Want a simple explanation as to why this happening?
This is what happens when you, in the blink of an eye, pump enormous amounts of money - $800+B that you don't have - into an economy without taking
care of the people that actually run the ecomony - the people.
In other words, they can discount prices, reduce mortgage rates, etc., but as long as THE PEOPLE are still losing their jobs, using credit cards with
rising interest rates and ridiculous fees, in order to survive -- it's all a big mudslide waiting to go. These bonds represent that last bit of
scrambling the gov't can do in order to simply stay afloat.
Didn't anyone else listen when the other world leaders scoffed at Obama's plan for the ecomony? He had $800B at his disposal - thanks to the
American people since it comes out of our taxes - and what did the American people get in return? $250. That's a couple weeks of groceries.
If he had taken HALF of the bailout money, split it up amongst ALL tax payers, stipulated that the money had to be spent (this can be policed as well
as the rest of his "investments" - he only needed another czar) on any of the following:
downpayment on a house or car, renovations to a house to recover some of the money we all lost in a down-turned housing market, pay down CREDIT CARD
DEBT or other bank-held debt, and/or college tuition...
Now THAT would have made a difference. The banks would have recovered a substantial amount of consumer debt, people would have been increasing the
value of their homes and/or purchasing new ones, car sales would have gone up and helped out the auto market....etc.
For anyone interested, it would have given approx. $3500 per household if simply divided evenly. That would probably have been enough for at least
some people to hold onto their homes.