Paulson Doesnt Know What He is Doing.

A better course to bailout would be to let them fail and file chapter 11. This would give them a chance to break contracts and renegotiate.

 

If you had any reading comprehension whatsoever you would see that I am skeptical of throwing money at the automakers absent some changes.

 

http://www.washingtonpost.com/wp-dyn/content/article/2008/11/12/AR2008111202846.html?hpid=topnews

I have no problem with trying to help the market, but this is what the hell i'm talking about. They dont know shyt about shyt.

 

Watch it now. It's nearly time for your party to put up or shut up.

 

Red that's your opinion on it not correcting itself. My personal opinion is that it is in the process of correcting itself and that is being prolonged by the government continually trying to step in. I think where we differ is the definition of correcting. And to say the bailout is helping is ridiculous right now. All you need to to that it isn't is the fact that we had the worst and best days in the history of the market mere days apart. There is a floor, maybe not where we would like it but there is one, and when the govt stops trying to put an artificial one in there, the faster we can get to it and begin to climb up again. In case you missed it, everytime a govt has announced a large cash infusement coming, the day has been good or great, but then the day after the market goes right back to what it was doing before... falling becuase not only are we in a recession, but there was a bubble over the market as well. The market will correct itself if we allow it to. I personally think us continually stepping in is the wrong thing to do and we will just have to agree to disagree on this one.

The example of Chrystler is nice, but one they did what they were suppost to with the money and it was just one company, not the whole financial system. It's a bit different than one auot maker being bailed out in the 80's. I'm not saying this won't help fix it with a few less big bruises on some companies, I'm just saying it is prolonging the problem right now.

 

Watch me be just as hard on them.

 

Dr. Faik Koray's MBA Economic's class. When government's step in to try "fix" an economic problem, 90% of the time it only prolongs the problem. But of course like all teachers teaching on inexact sciences, what he teaches could be biased. Personally, I would love to be sitting in his class this semester to hear what he has to say about the current environment. He might have something different to say now.