Our Slump (Part 2)Here is a short list of a few elements that put us in this economic crisis:
Housing Industry,
Mortgage Crisis, --> Today’s Topic
Banking Decisions,
The fall of the Dollar.
The people blame the lenders for allowing their loan, the lenders blame the government for not restricting the loan, and the government blames the people for lying about the loan. I call this the tri-fecta-of-unethics. While everyone is sitting around rationalizing reasons as to why they were actually the ethical ones, in reality the correct answer is that all of them are to blame.
People making $30,000 a year were walking into banks and getting approved for $500,000 houses. How? They lied. The banks did not think twice about the family’s income, instead they said: “Have you heard about the adjustable rate mortgage?” Both parties sitting in the office, knowing that they can’t afford a $500,000 house. Everyone knew this was going on, including the government. Is it not the government’s job to protect the citizens, even if it is from themselves? It did not take long till people could not pay, and loans were going bad. To make matters worse, banks were selling and buying bad loans back and forth for years. Ethical?
So the plan is take the tax payers money, give it back to the banks (the same ones that made all these bad loans), because we do not want them to go out of business. On top of that, since the government is giving them tax payer money, they want to own a portion of the bank. Nationalizing the banks is not the way to go about solving this problem.
People say: “The banks shouldn’t go under!?!”
So here is the solution: People should be able to make a ‘tax-free’ private donation to the bank that they feel shouldn’t go under. I bet less people would donate if its money from their pockets, but what these people don’t understand is: taxes do come from their pockets. Theirs. Ours. Mine. Yours. Let me keep MY money that I have worked for. If I do not want to help a bank, I should not have to help a bank. My money and your money, is going to make an investment that will never pay us back! Our taxes are going to help private (although, possibly not much longer) organizations.
To sum everything up: the lender, the government and the lying home buyer are all guilty.
Mortgage Crisis, --> Today’s Topic
Banking Decisions,
The fall of the Dollar.
The people blame the lenders for allowing their loan, the lenders blame the government for not restricting the loan, and the government blames the people for lying about the loan. I call this the tri-fecta-of-unethics. While everyone is sitting around rationalizing reasons as to why they were actually the ethical ones, in reality the correct answer is that all of them are to blame.
People making $30,000 a year were walking into banks and getting approved for $500,000 houses. How? They lied. The banks did not think twice about the family’s income, instead they said: “Have you heard about the adjustable rate mortgage?” Both parties sitting in the office, knowing that they can’t afford a $500,000 house. Everyone knew this was going on, including the government. Is it not the government’s job to protect the citizens, even if it is from themselves? It did not take long till people could not pay, and loans were going bad. To make matters worse, banks were selling and buying bad loans back and forth for years. Ethical?
So the plan is take the tax payers money, give it back to the banks (the same ones that made all these bad loans), because we do not want them to go out of business. On top of that, since the government is giving them tax payer money, they want to own a portion of the bank. Nationalizing the banks is not the way to go about solving this problem.
People say: “The banks shouldn’t go under!?!”
So here is the solution: People should be able to make a ‘tax-free’ private donation to the bank that they feel shouldn’t go under. I bet less people would donate if its money from their pockets, but what these people don’t understand is: taxes do come from their pockets. Theirs. Ours. Mine. Yours. Let me keep MY money that I have worked for. If I do not want to help a bank, I should not have to help a bank. My money and your money, is going to make an investment that will never pay us back! Our taxes are going to help private (although, possibly not much longer) organizations.
To sum everything up: the lender, the government and the lying home buyer are all guilty.
Valid... It's not my fault you were in over your head, yet I am being punished for it. On that note, who is to say who gets bailout... I am going under and don't want to go bankrupt, therefore I think I deserve about a billion dollars, since I have a lot to offer to America. Toss me billion dollars and I could create 500 stable jobs throughout this entire crisis, and of course cover the CEO's (myself) Christmas bonus and benifits as well. We all have our priorities.
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