Once more we have posted and talked about this before. This bailout is about the golden rule, those with the gold rule and shall continue to rule. Even if it means using our tax dollars to accomplish those ends.
The magnitude of the money and businesses involved dwarfs the potential collapse of the market. The entire construction industry, lending industry, real estate industry, Wall Street itself… Either many people can’t fathom or deny the lobbying strength that these industries have. I completely agree that not only will these entities be bailed out with our tax dollars, they will also put as much pressure as they can on all forms of government (local, state, federal) to push more dollars into the kitty to prevent the slide. It is really win win… they win by getting mo mo mo mo money. The politicians win by getting the feel good humanitarian vote.
This is the largest failure of guys like Roubini and such. They make predictions of efficient markets that are allowed to operate unimpeded.
Someone needs to wake them up and remind them that this is not utopia or academia.
Yes I am another bitter renter who is even more bitter of late.
