Global Financial Crisis (1 Viewer)

[Trefoil]

Yeah because I didn't buy a house I couldn't afford, did I?

I'm not saying mortgages are a good idea. But you can hardly expect the government to say "haha suck it, fuckers".

 

[Captain Hero]

I'm not saying mortgages are a good idea. But you can hardly expect the government to say "haha suck it, fuckers".

I can expect the government to say 'You guys all fucked up, you need to eat the consequences of what you did.'

 

[Nebuchanezzar]

If I worked for a bottled water retailer and offered you a bottle of clear liquid which I said was water, but later turned out to be BENZENE (dun dun dun), would you say "I fucked up, and I need to eat the consequences of what I did"?

My point sir, is that the workings of mortgages are not simple and those of us who are mere plebs in terms of financial knowledge should be informed properly about the risks of taking out a mortgage. I, along with 99.9% of the global population, could not predict this subprime mortgage crisis, and we should not be expected to have a skeptical approach to these banks to whom we trust our hard earned dollar toward. We expected that these institutions knew what they were doing! We were misinformed.

By the way benzene is a known carcinogen you non-chemist CUNTS!

 

[Captain Hero]

IF YOU EARN NO FUCKING MONEY AND YOU BUY A 700,000 DOLLAR HOUSE AND YOU'RE ALREADY IN DEBT YOU DON"T GET A FREE PASS.

You know you're buying a fucking house. The people that fucked up here were those who bought houses THEY COULDN"T AFFORD ON THE PREMISE THAT HOUSE PRIZES WOULD ONLY RISE.

Holy shit you are so incredibly retarded it beggars belief. How is someone selling someone benzene different from a retarded fuckwit borrowing above their means to buy a house that they thought would only appreciate.

Seriously you keep pulling these bullshit analogies out of your arse that only prove to illuminate how tenuous your grasp on reality is.

 

[Nebuchanezzar]

I refuse to believe that there were enough people in America gambling on an increase in their house price to cause such a deep financial crisis. I absolutely refuse to believe it. What I do believe is that there were enough people in America who were led to believe that they could cope with these debts.

And in any case that gamble was based on the information fed to them by financial institutions.

Death for corruption! China got it right.

 

[MissSarajevo]

european countries are in worse shape than america. Iceland a nation with a GDP of 20 billion $ is now deeply in debt of $ 120 billion dollar.

 

[Trefoil]

I can expect the government to say 'You guys all fucked up, you need to eat the consequences of what you did.'

Yeah, shame on them for being poor and unable to afford their own house without a mortgage.

We should totally blame them for being poor instead of lowering poverty rates, and closing the income gap.

 

[Captain Hero]

Yeah, shame on them for being poor and unable to afford their own house without a mortgage.

We should totally blame them for being poor instead of lowering poverty rates, and closing the income gap.

That's not what I said. Mortgages are fine; buying a McMansion when you work in Wal-mart, isn't.

You can easily buy a house if you're on that low of a salary but you don't buy a McMansion and 50 plasma screens.

They borrowed outside of their means. Sorry dude but that's how it works.

 

[Trefoil]

european countries are in worse shape than america. Iceland a nation with a GDP of 20 billion $ is now deeply in debt of $ 120 billion dollar.

That's very misleading. First of all, Iceland is a very strong welfare state, so issues of poverty are largely irrelevant. Second of all, national debt is not an indicator of quality of life or economic strength. Third of all, what are you smoking? Public debt is only about 30% of nominal GDP, and external debt is about $3 billion USD. Fourth of all, their GDP per capita is above $60,000. That means that your average Icelander is about twice as rich as your average Australia (which means the country is ludicrously rich - remember the population is only 300,000 - the size of Canberra). Iceland typically ranks 1st in the word for human development and boasts one of the smallest income gaps in the world.

There is no way I would ever classify Iceland as 'in worse shape than America'.

 

[Trefoil]

They borrowed outside of their means. Sorry dude but that's how it works.

A lot of them did. A lot of them didn't.

Anyway, America has bigger social problems and it has had them for a while now. The fact remains that not passing the rescue package would seriously disadvantage many millions of Americans innocent of involvement in Wall Street or the subprime fiasco, not to mention crash America's economy for a sweet while.

It is totally not worth fucking over millions of innocents by vetoing it just to make some hollow ideological stand.

Of course, the economy will still crash, albeit more slowly. One can take small solace in the fact that it is at least something to alleviate the burden in part. The next step is electing somebody who isn't braindead. If they don't elect Obama, they're fucked no matter how many rescue packages they pass.

 

[Captain Hero]

The thing is if they'd written down the assets now the crash would be over in a year. Eat the loss, it'll hurt people, just like EVERY downturn, but it's necessary.

If you think this bailout is bad, wait until the next one.

 

[Trefoil]

a) This crash is unlike those before it. It has been indicated it will last quite a bit longer than a year.
b) Even if it's over in a year, the damage is done - you've fucked over the lower and middle classes, and that's not something that only lasts a year. Especially considering their current precarious position in American society.

 

[Captain Hero]

But how does the government buying the loans at above what they're worth fix the problem and mean the houses aren't foreclosed on? This helps no one but the banks in its current form.

Homeowners are fucked as are the lower classes, regardless of the bill's passage.

 

[withoutaface]

The best way to help the lower and middle class is by taking their money and giving it to rich bank executives.

 

[Trefoil]

The bill's passage means fewer people as are fucked.

If the bill holds the economy at least loosely together, which it is predicted it will, then that prevents further damage to the lower-middle classes not much later down the line.

"It's current form"? Did you read the amendments? I believe the bill's size increased in length by approximately 5000%. A lot of that was earmarks for various infrastructure projects, but various regulatory controls were also added to it. Not enough for Obama's liking, but the Republicans wanted it more like a blank check (which is stupid) and their votes were unfortunately needed.

 

[Trefoil]

The best way to help the lower and middle class is by taking their money and giving it to rich bank executives.

That's what the Bush era republicans thought. I believe they called it 'trickle down economics'. Works a charm.

 

[Captain Hero]

The bill's passage means fewer people as are fucked.

If the bill holds the economy at least loosely together, which it is predicted it will, then that prevents further damage to the lower-middle classes not much later down the line.

"It's current form"? Did you read the amendments? I believe the bill's size increased in length by approximately 5000%. A lot of that was earmarks for various infrastructure projects, but various regulatory controls were also added to it. Not enough for Obama's liking, but the Republicans wanted it more like a blank check (which is stupid) and their votes were unfortunately needed.

Yeah they added $150bn of pork to it, know that. There are no guarantees of houses that are foreclosed on. If they were going to be serious they should have set up an organisation to purchase up the loans and then just index those loans while the people pay them off. If you're going to socialise it, do it right. Force AIG to split up and then do what the Europeans did.

The bill is an absolute crock of shit. It's given a bunch of bank executives golden parachutes and done nothing to fix the actual problems in the situation. If they're going to use the government to come in and fix all of the problems, then they should do it in a far more pragmatic way.

 

[withoutaface]

That's what the Bush era republicans thought. I believe they called it 'trickle down economics'. Works a charm.

High end tax cuts != corporate welfare.

 

[MissSarajevo]

That's very misleading. First of all, Iceland is a very strong welfare state, so issues of poverty are largely irrelevant. Second of all, national debt is not an indicator of quality of life or economic strength. Third of all, what are you smoking? Public debt is only about 30% of nominal GDP, and external debt is about $3 billion USD. Fourth of all, their GDP per capita is above $60,000. That means that your average Icelander is about twice as rich as your average Australia (which means the country is ludicrously rich - remember the population is only 300,000 - the size of Canberra). Iceland typically ranks 1st in the word for human development and boasts one of the smallest income gaps in the world.

There is no way I would ever classify Iceland as 'in worse shape than America'.

have you read a news lately? Iceland is on the brink of Bankruptcy, with its bank's obligations 5 times more than its GDP and its sovereign credit rating is already downgraded. for your information USA on the brink of recession is still AAA.

Iceland has an external debt more than 350% of its GDP, your figure of $ 3 billion is 6 yrs old! and Inflation is 14%! Government already nationalised one of its major Banks and more to follow, eith their currency losing 1/5th of its value in just one week.

People are making fun of its ranking as no 1 in UN HDI, because if they default on their debts, they will be just another 3rd world poor trash country. Thats how fragile european economies are.

 

[Luke338]

The global economy is fucked because of corporate greed....

The seppos can't get their head out of their own asses.