No, America's not going into debt for another 800 big ones, but The Fed is scooping up about that amount from its reserves to buy up bad mortgages from Fannie and Freddie, in another sign things are going from bad to worse.
I really don't know about you guys, but isn't there a point where there should be enough of government intervention and the banks left to their own vices? They more than doubled deposit insurance just before the election. And it's not like everyone who signed these subprime loans were totally out of the know as to what they were signing. Most know exactly what they were getting into. Not just consumers but banks buying up mortgages as securities then trading them on the open market.
When some smaller banks are seized by deposit insurance and others lent zillions because they're considered "too big to fail," the principles behind equality of sacrifice go right out the window.
No doubt, some were genuinely defrauded and for them there should be some time-limited help. But for Wall Street -- maybe it's time we just let it go bankrupt and let real people take it over for a change. I mean, Joe or Jane Blow can't do much worse than the MBA losers that got us all into this mess. (Not that all MBAs are guilty of course, but maybe we should ban people with any business degree from The Street for a very long time.)
Vote for this post at Progressive Bloggers.
No comments:
Post a Comment