Comments on: Constitutional Corporate Bailouts http://www.connorboyack.com/blog/constitutional-corporate-bailouts Rants and musings about things political, philosophical, and religious. Sun, 12 Feb 2012 17:34:17 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Josh Williams http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-56984 Josh Williams Tue, 09 Sep 2008 00:36:28 +0000 http://www.connorboyack.com/blog/?p=696#comment-56984 On an unrelated note..... Treasury Secretary Henry Paulsen announced yesterday that the Fed was taking over Fannie and Freddie. In other words: free markets be damned, <a href="http://www.bizjournals.com/cincinnati/stories/2008/09/08/daily1.html?q=fannie%20mae" rel="nofollow">All your mortgage are belong to Us!"</a> Just thought I'd mention it. On an unrelated note…..

Treasury Secretary Henry Paulsen announced yesterday that the Fed was taking over Fannie and Freddie. In other words: free markets be damned, All your mortgage are belong to Us!”

Just thought I’d mention it.

]]> By: Jeff T http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55964 Jeff T Fri, 18 Jul 2008 18:36:07 +0000 http://www.connorboyack.com/blog/?p=696#comment-55964 Only by <i>some</i> metaphors, Mark. :) Only by some metaphors, Mark. :)

]]> By: Mark N. http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55963 Mark N. Fri, 18 Jul 2008 18:31:11 +0000 http://www.connorboyack.com/blog/?p=696#comment-55963 Isn't the Atonement a "bailout" of sorts? I'm certainly thankful for that one. Of course, some would question the wisdom of a plan of salvation that requires a universal bailout... :-) Isn’t the Atonement a “bailout” of sorts? I’m certainly thankful for that one. Of course, some would question the wisdom of a plan of salvation that requires a universal bailout… :-)

]]> By: Kent http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55903 Kent Wed, 16 Jul 2008 18:02:09 +0000 http://www.connorboyack.com/blog/?p=696#comment-55903 <blockquote>I bought a home I could afford, contrary to what my loan officer told me I knew I couldn’t afford the total amount they offered me. So I went with something A LOT less that I knew I could afford if anything happened, but now I have to pay not only for my house, but companies and people so they’ll be okay. Where’s my reward for being smart? The government is only doing what it has been - reinforcing bad behavior.</blockquote> I could not agree more with Helaman more on this front. This has been my gripe all along. What is the reward to those of us who own homes we can afford. Wouldn't it be more fair for the responsible few to be able to purchase the soon to be foreclosed homes and then rent them back to the overextended debtors? I keep hearing talk of the government protecting our economy, but in many ways they are preventing others from actively participating when they short change the supply side of the supply and demand curves. The only way to accurately adjust the economy for the long term is to allow the supply and demand to find their own happy medium. I learned that in high school economics!

I bought a home I could afford, contrary to what my loan officer told me I knew I couldn’t afford the total amount they offered me. So I went with something A LOT less that I knew I could afford if anything happened, but now I have to pay not only for my house, but companies and people so they’ll be okay. Where’s my reward for being smart? The government is only doing what it has been – reinforcing bad behavior.

I could not agree more with Helaman more on this front. This has been my gripe all along. What is the reward to those of us who own homes we can afford. Wouldn’t it be more fair for the responsible few to be able to purchase the soon to be foreclosed homes and then rent them back to the overextended debtors?

I keep hearing talk of the government protecting our economy, but in many ways they are preventing others from actively participating when they short change the supply side of the supply and demand curves. The only way to accurately adjust the economy for the long term is to allow the supply and demand to find their own happy medium. I learned that in high school economics!

]]> By: Helaman http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55901 Helaman Wed, 16 Jul 2008 17:08:45 +0000 http://www.connorboyack.com/blog/?p=696#comment-55901 I understand what you mean, but it doesn't effect the tax payer the same. The shareholders get the dividend without the risk. We get the risk without necessarily getting a return directly and that's more what I meant. I understand what you mean, but it doesn’t effect the tax payer the same. The shareholders get the dividend without the risk. We get the risk without necessarily getting a return directly and that’s more what I meant.

]]> By: Connor http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55899 Connor Wed, 16 Jul 2008 16:42:49 +0000 http://www.connorboyack.com/blog/?p=696#comment-55899 <em>So, we the tax payers foot the bill, does that mean we get to reap the rewards [dividends]? </em> Unfortunately, in a sense, the answer is yes. Since Corporation X was doomed to fail before the bailout, the effects of its failure are spread across all involved parties (you and me). I wouldn't call them rewards, but I would call them consequences. Instead of the shareholders and clients suffering, we all suffer. Thus is the product of government intervention—making isolated failures felt by all. So, we the tax payers foot the bill, does that mean we get to reap the rewards [dividends]?

Unfortunately, in a sense, the answer is yes. Since Corporation X was doomed to fail before the bailout, the effects of its failure are spread across all involved parties (you and me). I wouldn’t call them rewards, but I would call them consequences. Instead of the shareholders and clients suffering, we all suffer. Thus is the product of government intervention—making isolated failures felt by all.

]]> By: Helaman http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55898 Helaman Wed, 16 Jul 2008 16:39:39 +0000 http://www.connorboyack.com/blog/?p=696#comment-55898 So, we the tax payers foot the bill, does that mean we get to reap the rewards [dividends]? Why isn't there more on the people who got into these loans also, the failure here isn't just mortgage companies, there are people who knowingly got into these loans understanding the risks. What makes me even happier with this, is not only am I going to foot the bill to bailout IndyMac, but also the fools who are about to loose their homes. I bought a home I could afford, contrary to what my loan officer told me I knew I couldn't afford the total amount they offered me. So I went with something A LOT less that I knew I could afford if anything happened, but now I have to pay not only for my house, but companies and people so they'll be okay. Where's my reward for being smart? The government is only doing what it has been - reinforcing bad behavior. So, we the tax payers foot the bill, does that mean we get to reap the rewards [dividends]?

Why isn’t there more on the people who got into these loans also, the failure here isn’t just mortgage companies, there are people who knowingly got into these loans understanding the risks.

What makes me even happier with this, is not only am I going to foot the bill to bailout IndyMac, but also the fools who are about to loose their homes.

I bought a home I could afford, contrary to what my loan officer told me I knew I couldn’t afford the total amount they offered me. So I went with something A LOT less that I knew I could afford if anything happened, but now I have to pay not only for my house, but companies and people so they’ll be okay. Where’s my reward for being smart? The government is only doing what it has been – reinforcing bad behavior.

]]> By: Kelly W. http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55897 Kelly W. Wed, 16 Jul 2008 14:42:13 +0000 http://www.connorboyack.com/blog/?p=696#comment-55897 I loved von Mises' quote: "[T]he market is free as long as it does precisely what the government wants it to do. " Sounds like something Satan would agree to. I loved von Mises’ quote:

“[T]he market is free as long as it does precisely what the government wants it to do. ”

Sounds like something Satan would agree to.

]]> By: Jeff http://www.connorboyack.com/blog/constitutional-corporate-bailouts#comment-55892 Jeff Wed, 16 Jul 2008 04:40:50 +0000 http://www.connorboyack.com/blog/?p=696#comment-55892 It's to great a crime to allow the wealthy to lose thier money. After all, they are the smartest, and by far the most capable rulers of we the serfs of the world. Just how many ways can a small group of people invent to steal from the majority? I'm starting to lose count. Also, if the Fed says we may see over 100 banks go under next year I think we can conservatively quadruple that number. If there's one thing the Fed's have been good at it's in understating the problems. It’s to great a crime to allow the wealthy to lose thier money. After all, they are the smartest, and by far the most capable rulers of we the serfs of the world. Just how many ways can a small group of people invent to steal from the majority? I’m starting to lose count.
Also, if the Fed says we may see over 100 banks go under next year I think we can conservatively quadruple that number. If there’s one thing the Fed’s have been good at it’s in understating the problems.

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