The Housing Financial Crisis
Have you been following this financial / housing “Crisis”? Interesting, huh!! Interesting-er and interesting-er.
Remember Alan Greedspan? The chairman of the Federal Reserve back in the day? He’s the one that kept saying, “Nah!!! There’s no housing bubble!! Everything’s hunky dorey.”
Remember all those dildos on radio and TV who’ve been saying for years now how great the economy is? And did you see Kkkarl Rove on Meet the Puss, a day or two after he quit DC, saying the economy was great?
Yep! What “crisis”??
Regular people start losing their homes. Not much of a problem – just some stupid rednecks, immigrants, and ethnics in over their heads. Not to worry. There’s no housing bubble – the economy’s great.
A lot more regular people (people who had trouble with fractions and decimals in school and who think George Bush is intelligent) start losing their homes. Hey!! Don’t ask for any help you losers!! YOU made bad choices! You should have read the fine print.. If you aren’t smarter than predatory lenders, that’s your problem.
Now, a few "friendly" lenders start to go belly up. Well, the line is that they shouldn’t get any help either. As Compassionate Conservative George Will said, that would be “folly” – gotta punish those home owners and lenders for their folly or capitalism will be degraded. Will reminds them (and us), “caveat emptor” (literally: “buyer beware,” or as I translate it, “If I can con you into something, that’s your problem”).
Will explains that the Federal Reserve Board should not help the low-life home-owners or the few scofflaw lenders.
More and bigger lenders start having trouble. The federal Reserve Board throws billions of dollars into the loan availability pot to help out banks’ “liquidity.”
More big-deal lenders start having problems. The Federal Reserve lowers the discount rate (interest rate), the action George Will said would reward scofflaws.
An economist working for the Wall Street Urinal says they did it to help out the people who can’t get loans to save or sell their homes – it’s NOT a bailout!!!!
Ok, Folks. Here’s what I don’t get. Here’s their argument:
When the regular folks (who think God cares who wins football games and that the earth is only 7,000 years old and that “The Secret” works and that it’s Mexicans’ fault Americans are poor) lose their houses, it’s because they foolishly failed to have their legal departments check out what the friendly, smiling, Christian man from the loan company told them. They deserve what they get. AND they certainly don’t deserve our help or even our sympathy. Fuck ‘em.
And when one or two lenders get in trouble, they get pretty much the same treatment (but with less vehemence, perhaps).
When more big-time lenders start having trouble, all bets are off, and the money spigots start flowing. Here’s where it gets interesting.
Now, supposedly the "stupid" people who lost their homes are still the primary cause, and the lenders who directly loaned them the money are still a lesser cause. Bad boys, bad boys – they still need to be punished.!! They made bad choices and have to pay George Will’s price – or capitalism will suffer.
But the next level; that’s different.
Those ginks did nothing wrong; they are innocent lambs; and, beyond that, the Federal Reserve is doing what it’s doing – NOT as a bailout of the money ginks, but only to help out the good people who can’t get loans to save or sell their homes. This is NOT a bailout.
But didn’t these noodles make bad choices too? Shouldn’t they have kept more money back in case they ran into “liquidity” problems? If Joe six-pack should be punished for not thinking ahead, and the Fly By Night Loan Co. should be punished for not thinking ahead, why shouldn’t the ginks higher up the food chain be punished for not thinking ahead?
Remember Alan Greedspan and the non-existent housing bubble and all the chatter about a great economy? Well, the ginks aren’t getting punished. They are getting bailed out.
Sounds to me like another clear case of “it’s who you blow.”
- Uke man