Wednesday, April 14, 2010

Fox in the Hen House

My whole thing with the economic collapse is disappointment more than suffering. I believe in you get what you deserve and quite frankly, we deserved this recession.

I thought when Bush got elected we as capitalists could finally find our stride. You know, be unencumbered by Government and really let lose. Well, we certainly did and what did we prove? We proved given the keys to the candy store our greedy little mitts would steal everything off the shelves and then the shelves as well.

We screwed up large, and now we are paying for it with a Socialist moron of a President surrounded by an advisory group that makes the crew of F-Troop look like the advisory council for Mensa. The biggest idiot in this group is of course Geithner. Can you believe Falderal sent him to deal with the Chinese? I bet the holders of our biggest debt were laughing their asses off at that one. However, that’s a post of a different color.

The answer to Wall Street’s blatant disregard for doing the right thing should have been heavy regulation and a thinning of the herd from bankruptcies (of the banks) and mergers. No, our eminently stupid Government beginning under Bush and getting even more fucked up under Falderal decided TARP was a better answer.

On their face, TARP and all the various corollaries to it was the absolute most ridiculous government program to come along until Healthcare Reform.  We the taxpayers bailed out the guys who made us go broke. We rewarded the scumbag bankers for taking advantage of American taxpayers. And, it was Geithner who orchestrated the entire process and continues to do so.

As President of the Federal Reserve Bank of New York, it was he who designed and implemented the Bailout of 2008. It is he who has dominion over the $700 billion being used to further bail out the big banks.

Why is he so into helping out the banks instead of punishing them?

Simple. The Falderal administration has been heavily supported by the banking community since Falderal announced his Presidential candidacy for the very simple reason that they knew his pack of morons could be manipulated into bailing them out instead of forcing costly regulation and possibly the collapse of the banking industry as it was known.

They knew they could sell voters on Falderal by seeming as if they were against heavy regulation unlike Democrats of the past. They branded themselves as a new kind of Democratic Party. A party that would be a friend to business, not a hindrance. Well, they are certainly friends to this particular business sector!

Falderal et al raised over a million bucks from Goldman Sachs and their employees in 2008, not to mention the other support they were able to whip up through customers and business associates. That’s more than any candidate had raised from one business entity since the McCain Feingold legislation went into effect. They owed banking and they owed it big.

One might reasonably assume TARP and the associated bailouts would have been enough to satisfy their banking buddies and special interest groups that went along with them. But, no. Falderal, Geithner and the Goldman alumni of; Rahm Emanuel, Larry Summers, and Mark Patterson who are now all a part of the administration, have decided to further protect their banking pals from future financial foibles.

Geithner through master thief Chris Dodd has orchestrated a 50 billion dollar emergency funding bill known as the Dodd Bill, to further help out the banks in times of crisis. They are calling it an Emergency Fund. Guess who is in charge of deciding when a bank is in trouble and what to fund them? That’s right, Geithner. Pretty convenient, huh?

So this all begs two questions, first: where is the incentive for banks to clean up their practices, and second, whose side is Falderal on anyway? The former is easy to answer; clearly Falderal could care less about the American taxpayer. The first is almost as easy; there is no incentive for banks to clean up, fly straight and provide a long-term solution to our economic crisis. They can keep playing fast and loose with their policies; taking advantage of their now desperate customers once again while furthering our demise in favor of their own profits, and the Government is facilitating it all for them. Nice, real nice Falderal.

Although it is Geithner masterminding these certain to fail policies, the buck stops with Falderal, which he is apparently very fond of saying. Let’s look at one of Falderal’s brilliant economic programs; short sells.

Falderal has been fond of offering short sell opportunities for people in over their heads with mortgages. Short sells are a fast track to foreclosures and are good for nobody. They do not help at all in solving the problem. Some would argue Short Sells are good because real estate investors can buy cheap properties and offer them for rent. Yeah, that’s great for investors and I am never against that, but the big picture here is what we need to be concerned with. It’s also great for banks and real estate types because it allows for all sorts of ancillary fees. Hmm, more property owned by fewer people; much of it by the government through the banks. What does that sound like? Oops, did I actually write that out loud?

The idea should be to keep people in their houses. What Falderal is saying is: “let’s further skull fuck the American Dream by booting people out of their homes; the homes whose mortgages were sold to them by predatory lenders, the people we like to protect, and cure the short term financial woes of the homeowner”. That is extremely faulty and dangerous policy.

What a smart president would do is force the banks to reduce the principle down to a manageable number so people can stay in their homes. The short term hit to banks, which really isn’t a hit at all, is softened by the fact that they have taken a non-performing asset and turned it into a performing one.

The bigger success in such a program would be the psychological aspect. When people feel like they are working towards something, they are more enthusiastic about everything in their life. This makes for good workers, which makes for a good economy. Offering short sell opportunities is not only an economic fool’s errand, it is also demoralizing.

Yeah, this is what happens when you elect a former community organizer for the largest thieving government funded shyster organization in America, whose only experience in Government is as a part time Senator. It’s pretty simple math when you get down to it.

2012 can’t come fast enough!


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