*Lehman Brothers Holding inc files Bankruptcy
*Federal Reserve Loans 85 Billion to AIG for 79.9 ... Stackers' Lounge forum
Is this the beginning of the end?
*Lehman Brothers Holding inc files Bankruptcy
*Federal Reserve Loans 85 Billion to AIG for 79.9 percent stake of company
* Federal Gov't bailing out mortgage giants Fannie Mae and Freddy Mac with willingness to loan out 100 Billion dollars to keep them from going broke.
* Dow Jones drops 500 points on Monday biggest drop since 09-11
Could this be the beginning of the end? Are we heading toward a second depression? I have to admit for the first time in my life I'm actually worried about where our country is leading to financially.
What are your thoughts?
Why aren't the ones who caused this with there greed locked up.
Banking is the world greatest business model ever. They usual make billions but if it all goes wrong there is a good chance the government will bail you out, genius.
Welcome to the American Way!! Don't you just love it, lol...
No, this is not the end. We're just stuck inside of Mobile with the Memphis blues again.
It is a correction, one of the system's ups and downs. That is all.
Before you knock Banking in general, consider how it has made the current world possible.
Those greedy Banks etc who gave out risky subprime loans are now receiving their fair desserts. But thoughtless people as well who accepted loans beyond their means, possibly through false statements of income and the like, will also end up losing their homes. It's unfortunate and sad, but statistically inevitable.
I don't know. the problems are escalating exponentially. Now the WORLD has stepped in to shore up the system.
May you live in interesting times - Chinese proverb (?)
"Nobody told me there'd be days like these" - John Lennon
I totally agree with you. It definitely works both ways. I know a lot of subprime mortgage people and can tell you first hand there not doing much nowadays. I'm curious to see with a lot of Adjustable rate mortgages that will soon reach their maturity what will happen to our economy in the near future?
Originally Posted by gkast1
~via BB (wap.pinstack.com)~ Too many people shouldn't have been in the mortgage biz and just as many shouldn't have been buying houses twice as big as they could afford. Tragic? Hardly. I know i'm not big enough or in shape to play in the NFL, difference being i'm not stupid enough to step out on the field and find out the painful way.
Really sad part is how it has sent so many small business owners which is the base of American business, out of business!
~via BB (wap.pinstack.com)~
I feel the same way. Years ago you can start your own business and everyone would think you're a successful individual. Nowadays if you start a business the first thing people think is how long your shelf life is.
Originally Posted by thbassman
On one hand too many greedy people carelessly trying to make buck and on the other hand too many people trying to live beyond their means. I had this friend of mine that was paying on a mortgage for a 800k house with a 45k annual income. I just didn't understand his justification of trying to live that far ahead of himself.
Originally Posted by Yellowfin
Anybody who's worried about having another 'great depression' needs to realize how different of a world we're in now. The US is the only remaining 'superpower' by economic standards. Back in the 30s there were plenty of other countries up there so there was a massive power struggle. We've learned from our mistakes in the 30s and have things in place now to help. Don't take what the media says right out, as they put things in the worst possible light to sound important.
Now that's not saying this stuff happening isn't a big deal, but to think that our entire country will crumble because of a few albeit large and important financial firms couldn't hold their own is ridiculous. If it was that easy to bring us down then we wouldn't be in as good a shape as we were for so long.
Well if people don't start paying attention there will be some going thru there own mini depression!
Were all in our own way being more conscious about the way we spend. I know I'm more conscious about how much gas I use especially cause I spend close to $100 a week. I've been going out to eat less now and have been doing co ops with my friends and hosting dinners at my house in a rotation with friends once a week.
Yeah i don't go out nearly as much. It costs as much to go someplaces as it cost to get in.
The bail-out is bound to work, if it is done with oversight and if it spreads the pain around. People should not lose their houses, but they will need to pay back the loan -- under a more lenient time schedule. People in insolvent companies shouldn't lose their jobs, but they will have to accede to a pay cut -- and on no account should bonbuses be paid to executives, whether they stay or thay go.
There is something bound to be overlooked in the rhetoric against subprime loans. We do need MORE loans -- subprime if need be! Not real estate loans-- those ought to be scrutinized; but business loans to start or revive small and medium-size businesses... even if they do carry risk.
Personally I would like to see Congress tack on another requirement to releasing almost a $1 trillion: get the he11 out of the stupid, wasteful and lie-infested "war" in Iraq!
But they don't have the ba11s
I brought doughnuts into my office this morning and my reason has been I wanted to see if my wamu debit card still worked!
What an interesting course of events this week!
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