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View Full Version : Economic Stimulus..the first one didn't work



S.V. Airlie
01-29-2009, 05:16 PM
All the banks did was pocket the money.
All of the companies was just gave bonuses to executives.

For this next package to work, someone has to monitor how it is spent and follow up.

I don't see this happening...

As far as I am concerned this is money down the toilet. Although I do see some big contracts with big companies getting a landfall.

Captain Blight
01-29-2009, 05:20 PM
Maybe enough will trickle down to me that I can afford a 6er of good beer. Isn't that how it's supposed to work? The rich get richer and the poor get drunk?

S.V. Airlie
01-29-2009, 05:22 PM
Maybe enough will trickle down to me that I can afford a 6er of good beer. Isn't that how it's supposed to work? The rich get richer and the poor get drunk?

That's a Republican approach Obama is a Democrat.:rolleyes:

None of this is gonna help the small guy.. Believe me.

ljb5
01-29-2009, 05:24 PM
I don't see this happening...

Would you know if it did happen?

Would you acknowledge it if you did?

TimH
01-29-2009, 05:25 PM
The first was just for bonuses. This one will be for doing more.

S.V. Airlie
01-29-2009, 05:26 PM
The first was just for bonuses. This one will be for doing more.


How do you know? What is there that makes you believe this? What past experience backs your statement?

ishmael
01-29-2009, 05:29 PM
Given the dicey situation, I don't think we can let these big banks fail. We could, but it would throw the whole system into an ever bigger tizzy. I do resent my tax dollars going to a bunch of fat cats who didn't mind their own houses. But I don't see a good alternative at this point. Let Lehman Brothers, and Merrill Lynch go South, and suddenly the issue gets A LOT bigger. It may anyway, and this money is just paper at this point. Structural issues won't be addressed by this bailout, but I'd rather not see rioting in the streets.

S.V. Airlie
01-29-2009, 05:32 PM
Given the dicey situation, I don't think we can let these big banks fail. We could, but it would throw the whole system into an ever bigger tizzy. I do resent my tax dollars going to a bunch of fat cats who didn't mind their own houses. But I don't see a good alternative at this point. Let Lehman Brothers, and Merrill Lynch go South, and suddenly the issue gets A LOT bigger. It may anyway, and this money is just paper at this point. Structural issues won't be addressed by this bailout, but I'd rather not see rioting in the streets.

Ish.. keeping them from failing is one thing. Allowing them to give billions of dollars in bonuses as they charge huge interest rates and lay off people at the same time is something else.

RonW
01-29-2009, 05:44 PM
Hold on...no nobody was given anything..These banks secured this money with shares of preferred stock and the money is fully guaranteed and with a profit, provided that the bank doesn't go into bankruptcy..So really nobody got anything for free..

But there are 2 parts to this. First off are the banks going to start lending again to stimulate the economy, or sit tight with their money back in the vault.
The 2nd part is how did all these banks get into this trouble, and no it was not in the subprime home loans. It was in the large commercial lending field, as well as they being divirsified in mutual funds,- the stock market, here and abroad..so what are the bankers doing investing in the stock market..

JimD
01-29-2009, 08:40 PM
The first was just for bonuses. This one will be for doing more.

Ya, it will cover their bonuses for the next four years.

TimH
01-29-2009, 09:50 PM
Ya, it will cover their bonuses for the next four years.


Exactly. They need the future bonuses as incentive to work, Otherwise they will just hang out at the country club.

Cuyahoga Chuck
01-29-2009, 10:09 PM
All the banks did was pocket the money.
All of the companies was just gave bonuses to executives.

For this next package to work, someone has to monitor how it is spent and follow up.

I don't see this happening...

As far as I am concerned this is money down the toilet. Although I do see some big contracts with big companies getting a landfall.

The president pointedly criticized them shortly after you started this thread. Could he be reading your..... ? Naaah! Well, they say he can walk on water.
Even if there is no way to get the money back it is quite possible to get them in a congressional hearing room and make them sweat in front of TV cameras. That should be fun.

john l
01-29-2009, 10:09 PM
for whatever it's worth, i'm seeing movement in R&D spending. companies
are investing in new product development, albeit smarter, more sueful and practical product. in fact, i haven't been this busy in 3 years. 6 months to 12 months from now i bet you see an increase in new tool orders. i think the past few years have brought about 3 characteristics - those who believe the sky is falling, those who don't see/feel much of a change and those who see this time
as an opportune one. i'm seeing people who are tired of being down about the economy and gove and are saying enough - it's time to do something. this attitude will trickle down and things will improve.

RonW
01-29-2009, 10:18 PM
those who believe the sky is falling, those who don't see/feel much of a change and those who see this time as an opportune one.

great post, and I agree, I think when the stock market start moving, it will move a whole lot..so if you got 401k just let them set, the damage is over with and recovery on the way. And to say something about the last admiistration (gw) calm down chuck--- as I said earlier, this money to these banks are backed by preferred stock, so if or when the stock goes up, it looks like g.w.'s deal will actually make money. But of course these bankers are suppose to get the money back into circulation, and I think they are testing the waters before they release much or any of it. we shall see..

S.V. Airlie
01-30-2009, 11:44 AM
The president pointedly criticized them shortly after you started this thread. Could he be reading your..... ? Naaah! Well, they say he can walk on water.
Even if there is no way to get the money back it is quite possible to get them in a congressional hearing room and make them sweat in front of TV cameras. That should be fun.

Understandable Pres. Barak and I talk all the time.. My posting only appeared as the President had to go through channels.;)

RonW
01-30-2009, 06:18 PM
As I stated.
Hold on...no nobody was given anything..These banks secured this money with shares of preferred stock and the money is fully guaranteed and with a profit, provided that the bank doesn't go into bankruptcy..So really nobody got anything for free..


In another thread paladin has a post as to what the 2nd. stimulus is all about..Not defending bush in any way, but hey let's compare apples to apples..

here piggy piggy..

http://www.woodenboat.com/forum/showthread.php?t=92202

slug
11-16-2013, 05:19 AM
Hold on...no nobody was given anything..These banks secured this money with shares of preferred stock and the money is fully guaranteed and with a profit, provided that the bank doesn't go into bankruptcy..So really nobody got anything for free..

But there are 2 parts to this. First off are the banks going to start lending again to stimulate the economy, or sit tight with their money back in the vault.
The 2nd part is how did all these banks get into this trouble, and no it was not in the subprime home loans. It was in the large commercial lending field, as well as they being divirsified in mutual funds,- the stock market, here and abroad..so what are the bankers doing investing in the stock market..


Come on Goldman Saks went bankrupt because of bad buisness decisions. The gov bailed them out...the executives are rolling in cash..

the bail out of too big to fail has simply created new too gigantic to fail institutions.

Because of this new gigantism the next colapse will bring the taxpayer to his knees.

the entire system of capitalism is failing..morphing into a special interest monster controlled by the elite

skuthorp
11-16-2013, 05:43 AM
The president pointedly criticized them shortly after you started this thread. Could he be reading your..... ? Naaah! Well, they say he can walk on water.
Even if there is no way to get the money back it is quite possible to get them in a congressional hearing room and make them sweat in front of TV cameras. That should be fun.
You could always try waterboarding, there's a precedent……………...

wardd
11-16-2013, 11:50 AM
Hold on...no nobody was given anything..These banks secured this money with shares of preferred stock and the money is fully guaranteed and with a profit, provided that the bank doesn't go into bankruptcy..So really nobody got anything for free..

But there are 2 parts to this. First off are the banks going to start lending again to stimulate the economy, or sit tight with their money back in the vault.
The 2nd part is how did all these banks get into this trouble, and no it was not in the subprime home loans. It was in the large commercial lending field, as well as they being divirsified in mutual funds,- the stock market, here and abroad..so what are the bankers doing investing in the stock market..

there are the intangibles the big banks got and that is the knowledge that they would be bailed out while small banks went under, so the big banks attracted more money