When we hear of the government having to "bail out financial institutions" and we see our jobs ending by the hundreds what are we supposed to think?
The fact that the housing market fell through and so many were losing there homes was a shock to some. The fact that the government tried introducing legislation to stop this was a shock as well. Now, theya re bailing out the financial institutions that actually created the mess. What madness!
I for one do not want anyone to lose there home but you have to know your finances and what you are capable of. I am sorry but I have never been a fan of an adjustable rate mrtgage (ARM). These mortgages were designed to make the rich richer. Everyone knows that when interest rates go up it is highly unlikely that wages will go up in a direct relation. If someone's mortgage payment had the chance of increasing up to two, three, or four times its original amount then that is the figure that should have been used to qualify the mortgage in the first place.
An employee at the local convenience store making $7 per hour could qualify for a mortgage of about 70,000 dollars a few years back. This person is still making $7 per hour and there payment has doubled. This was not right from the get go and I feel that the profits these institutions made from doing such a thing should come back to finance the bailout.
On a different note, I feel the government should have let the pieces fall where they may. There are plenty of Americans and people from around the world that would have invested in these repossessed properties. Sure, I like the rest was going to let the market drop to the bottom. This is the way of business. Buy it cheap!
Everyone who lost a home would have to rent a home to have a place to live and we could have recovered our investment. Sure, the financial institutions would have lost a good bit of money but with bonuses paid to their executives in the millions of dollars; Who Cares? This is the way the poor working class people get to be put on the Forbe's list. We save our money waiting on something in the market to become a fair enough deal for us so we can possibly turn out to be the next Donald Trump of real estate.
If the buy-out was and still is so important to the governmetn to protect the world economy then it should have been done the right way. Why not pay the working class people who are losing their homes? If you would have taken the money used to bail-out failing institutions and split it between every working family with children and a mortgage you would have accomplished more.
We would have taken this money and paid off our mortgage and other debt if possible. The financial institution's would have received their loan payments and the government would have even collected taxes on the disbursements.
Thos of us close to retirement would have probably went ahead and retired early since our mortgage was paid. If this would have happened we would have created jobs in the process. Many of us may have borrowed more money to open a business or expand a business since our mortgage was paid.
Bailing out Wall Street did nothing more than cost us our employment. Big business is going to make there profit one way or another. If they are used to 10 million a year in profits they are not going to settle fo 1 million. They feel they are losing money. They will just hold onto the 10 million they have in hand. This is why the stock market continues to plunge.
The economic stimulus package the President gave us some time back did nothing more than let us make at least one more payment to a group of rip off artists called lenders and hold off their bankruptcy for a time. The stimulus that was designed for Americans to stimulate the economy was nothing more than a ploy to come up with a plan to pay off these executives that received a vast wealth from your sweat and greater wealth from the government when they were on the verge of losing what we already gave them.
Stop the madness. If these CEO's and CFO's can make bonuses of millions of dollars a year loaning money then let them offset the losses of their companies and quit giving them money. Maybe a group of hardworking individuals would have gotten together and bought AIG or one of the other companies when the price fell.
I know I shouldn't say that. We could never do something as complicated as that. That is why we are the middle class. We have to work and pay taxes to support those who are less fortunate than us and let the rich continue in their money hungry greedy ways.
Republicans and Democrats alike need to take heed. We, the people of America are the voice of government. How long do you think you can keep us down and trample over us? The people will one day take America back and put the government in the hads of the people expressing the voice of the people.
I would venture to bet that there are more lower and middle class people in the country than upper calss. I may be wrong, I do not have the research. If this is so, tell me what your millions will be worth when we decide to stop doing your dirty work. Maybe we will all just quit qorking and let the government support you with bail-outs. Don't forget you will have to also subsidize our government programs!
