Shades of Hoover hard times?

http://www.latimes.com/business/la-fi-indymac12-2008jul12,0,6071779.story

Well It will be interesting to see the Bush apologists try to put a good spin on this.

Second Biggest bank failure ever.

This pic reminds of the old Hoover days my mother used to talk about.

I have to say this is the kind of stuff that brings Democrats running back home to scratch the rooster come November.

Isn't this exactly what the FDIC was set up for in response to bank failures of the past Sherm? This 'business' made very bad decisions and is now paying for it, just as any other business would do.

Bush directed this bank to make bad loans and thus go out of business? Behold the power!

well this bunch on here today is really full of republican koolaid for sure.

No accountability whatsoever when the neocons flub up.

Even after 8 years not his fault right Randall?

I think Bush should be held accountable for his actions: The Iraq war, the Katrina response, and many, many other government policies he has enacted or signed. But you want to blame him for skinned knees and cloudy days as well. How is it Bush's fault that IndyMac made bad, high-risk loans?

Particularly as if such loans were not made, the left would have been crying discrimination.

Shermmy says ..............

No accountability whatsoever when the neocons flub up.

Right on Sherman, to wit:

July 13, 2008
Craig Skaggs
Gas isn't worth more; our dollar is worth less

The national debt is about $9.3 trillion, which means each American owns about $30,000 of that debt. Additionally, we have a $6 trillion trade deficit. This escalating indebtedness is what you are allowing your government to do to you - every day. It's tearing our economy to pieces.

To remain solvent, the U.S. Treasury prints paper (and calls it money) to pay all the folks to whom the United States owes this debt. In fact, that recent "bonus" tax-refund was just printed paper. You spent it, but what you didn't notice is that after we print more dollars, each one is worth less. Then we pay more and more for all our products, such as bread and gasoline. Printing that economic stimulus money did nothing but increase inflation and make your future earned dollars worth less.

The thing that chaps me is that I got a letter from the Treasury as executor of my mother's estate telling me my deceased mother's check would arrive in a couple days. Why do I need a letter telling me the money is coming? Just send me the money. What do you figure it cost in bureaucrats' time and in postage to send those letters to everyone, apparently including dead folks?

Our dollars are only IOUs. And the Saudis and the Chinese are about to cash in some IOUs. Say goodbye to Holiday Inn and CSX. Think I'm kidding? Just watch the business news in the near future to see the Arabs begin to buy every piece of America. Even the Canadians are getting into the act. They recently bought a huge stake in GE's newest nuclear energy technology. With inflated dollars and the national debt, America is a fire sale waiting to happen.

Why is gasoline so expensive? Is it because the Arabs won't let us have enough crude? Nope. It's because we have to pay increasingly more IOUs to the Arabs as each dollar becomes less valuable.

What is causing this runaway debt and accompanying inflation?

In June, the House of Representatives authorized $162 billion for added unrestricted military spending in Iraq and Afghanistan. The vote was 268 to 155. But they also tacked on a bunch of other stuff: $63 billion in college aid for veterans, $8 billion in unemployment benefits and $10 billion in foreign aid. So, there goes another quarter of a trillion dollars in debt.

Now, I'm sure your House member checked with you before taking out this giant loan, right? The war is, after all, one of the most important things happening to Americans. And when gas goes up tomorrow because our dollars have been diluted again by our debt, just remember: it ain't the Arabs or Wall Street doing this. It's those of us who sit idly by and let the House of Representatives do whatever they want without getting approval of the people.

As a person who has worked hard and never missed a house payment, I loathe this legislation. The bill sets up a fund, partly by charging $900 million in fees on federally insured housing mortgages, to cover all expenses related to the foreclosure rescue plan for three years and to create "affordable rental housing." It also allocates nearly $4 billion in grants to communities with high foreclosure rates to buy and rehabilitate vacant properties.

The bill also provides $150 million to "expand counseling for borrowers to prevent foreclosures" - whatever that means.

The banking industry, which loses about 50 percent on every foreclosure, loves this bailout.

That's not all. According to the New York Times on June 25, " ... the bill would permanently increase to $625,000, from $417,000, the limit on [home] loans" quasi-government agencies can purchase from bankers/lenders in expensive housing markets. This, Congress members explain, will make it easier for borrowers to obtain giant mortgages at reduced rates. Huh? Whoever came up with this piece of bailout idiocy doesn't sound like a poor, downtrodden homeowner, does it? The authors of this provision are the bankers, or perhaps home builders or speculators who want more high-end mortgages.

And so, Congress continues to give our money away to the special interests and continues to throw money and American lives into the military-industrial abyss and none of us pays any attention. So the dollar is worth less and a loaf of bread is worth more every day. And beer is far cheaper than gasoline. So just stay at home and drink and make sure you don't drive. And learn to speak Arabic, because our businesses increasingly will be owned by the oil sheiks.

Of course, you could call your Senator and House member and try and stop this continuing waste of money - starting with the banking/mortgage bailout. Or you can hope the administration just comes up with a simple plan to make gasoline cheaper at the pumps.

Or, you could vote the whole mess out of office every time you get a chance.

Skaggs, originally of Charleston, is a retired multi-state lobbyist for DuPont.

http://www.sundaygazettemail.com/Opinion/Op-EdCommentaries/200807120225?page=2&build=cache

Well I agree with that Sam.

The pouring of 2 or 3 billion per week down the Iraq rathole does not help that's for sure.

And yet you completely ignore the fact that Indy Mac made bad loans they should have never made.

One of the first lessons in business is when bad decisions lead to bad results.

Well Aaron I dont claim to be an economic guru but it seems to me it is bad for your bunch if banks start failing.

Plus the feds have to bail them out up to 100k per customer.

And I assume that is either tax money or borrowed from the bin Ladens.

(Loving eyes never see I guess...)

Actually it’s insurance money and that is what the FDIC was created for.

As for banks, like every other business that makes poor decisions, they fail. It's happened almost (there are 2 in the last 16 that had none) every year for the poast ~20. The early 90’s were particularly bad. I’m sure you will find a way to blame that on Republicans as well. As you say, loving eyes never see…

See for yourself

So tell me sherm, do you think it's a coincidence that when democrats took control in 06, the stock market was over 14,000, gas was $2.00 a gallon and the economy was good?

Them Loving eyes, huh Sherm...
:

ok aaron.

I hope the republicans take up your chant. full speed ahead.

Oh, I doubt Republican will tak9e up the chant either. They're as hell bent on bailing out the idiot banks and democrats are in bailing out the idiot homeowners and neither is good for America.

Well I haven't heard but the Green Party was supposed to meet over the weekend to decide on a nominee.

Wonder if they picked Nader?

Where does Bob Barr stand on more responsible Fiscal policy?

Has Ross Perot endorsed anyone?

Nevermind on that. They picked Cynthia McKinney from Georgia.

Now Georgians have two alternative candidates on the ballot. Her and Bob Barr.

(I think Nader would have been a better choice but they didnt ask me.)

I am not sure if either will be on the WV ballot.

The Green party is aligned with the mountain party so yes, Cynthia McKinney (she's been their presumptive nominee for months) is on the WV ballot.

shermangeneral wrote:Well Aaron I dont claim to be an economic guru but it seems to me it is bad for your bunch if banks start failing.

Plus the feds have to bail them out up to 100k per customer.

And I assume that is either tax money or borrowed from the bin Ladens.

(Loving eyes never see I guess...)

But Shermmy, those Federal Banking Examiners were/are SPECIFICALLY enjoined to prevent "bank failures". ............ (ps: that was a hyper link)

So, must be just another example of public employees "stroking it" instead of doing their job, ........ RIGHT.



.

Back to the Indy Mac bank, I wonder how many banks and/or investors are lining up to take their assests (forclosed homes) off their hands? Someone is going to get a LOT of homes at well below market value and make a KILLING.

As for the vast majority of investors, they'll be fine as their deposits are covered by the FDIC.

Aaron wrote:Back to the Indy Mac bank, I wonder how many banks and/or investors are lining up to take their assests (forclosed homes) off their hands?

Someone is going to get a LOT of homes at well below market value and make a KILLING.

I'd almost betch a $100 against a cold Bud ...... that no "average Joe" private citizen will be permitted to "take their assests (forclosed homes) off their hands".


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I would agree with you 100% Sam.