I'm sorry but, my predictions have been correct...

I am sad to say.

This administration, and it's next wannabe team it seems, cares not about what is best for this country. But, we know this, don't we? I certainly hope so come election time or we are royally screwed. They have stalled and paused much too long and created more problems for the public taxpayer. The lack of attention and action previous to this date has now place the need for their decision to bailout out Freddie and Fannie. This has now placed a $5 Trillion negative on the country's balance sheet.

I am all for finding solutions to help the situation and the two firms out, but I am not to sure that this is the correct solution. At this time, it probably is, but what else could have been done that wasn't? Now, it goes to the taxpayers, once again, to fund this problem.

And the rebpugnicants tout "no new taxes!" My question to them is, show us how anyone in their right business mind can balance this out with no new money infusion to the system? It CANNOT be done. Especially with the Bush administration and their fiscally irresponsible clan. And you can kiss this country goodbye if McCant wins the election as he can't even balance his checkbook!! He said so to the public people stating that he is not the best person to be discussing financial issues. Shit?!

The first government bank bailout was the Bear Sterns debacle. People say that this wasn't a government bailout, however, the terms of the agreement state that the government will back any debt incurred to JP Morgan/Chase on this transaction. So, JP Morgan simply takes over the failed Bear Sterns, to which its stock holders (pension funds, retirement 401's, etc.) take the hit, while JP is guaranteed all of its money spent on the transaction. Who wouldn't do an investment like that? And, as I stated previously in this blog, the reasoning behind this rescue was the fact that Bear Sterns was one of Washington's favorite institutions for the Congresspersons, Senators, and others to funnel money through. If the financial institution would have gone bankrupt their entire documentation would have been made public in the courts. Washington couldn't have that happen...

Then IndyMac and Countrywide both go down. Both of these banks were started and run by the same group. What was done with them? Were their SEC licenses taken away? NO! Were their golden parachutes taken? NO! They were slapped a bit, and again, the stockholders (pension funds, retirement 401's) were depleted. It's no wonder that the repugnicants want to privatize social security as they are going to need all of those funds to shore up this whole financial downfall.

Now, Fannie and Freddie have gone down. The government has stated previously that they might step in to help shore up the companies in order to salvage the global mayhem that their bankruptcy's would create. Why did tey wait to do anything? Simply stating that they may step in didn't do anything except create failed institutions more time to scramble and fall farther.

My question is where does all of this bailout money come from?

The government did need to step in, although they should have done something much earlier, in order to create the facade to the global investors of the securities that the government will back their investments. At least to give the global investors the confidence that somehow someone will...

Don't I constantly hear from the repugnicants that they tout less government?

What is taking shape before our very eyes with this is that we all, approx. 70% of all home loans, will now live in government housing. Also, during these past 8 years, I give you a bit of homework to research "Eminent Domain". With the government owning or rather...backing...these institutions they now control 70% of all housing in the US. Let's see, government owned or nationalized housing is more like...communism.?!

With their record of total mismanagement it is only a matter of time when the global investors of these bonds and securities decide to cash in their debts...

Again, Eminent Domain?...

This has gotten to become very sad indeed.