Is It Still A Fire Sale, Or Has It Become A Bail Out? Should It Have Happened At All?
Posted by cnnek at 05:53, 01 Apr 2008J.P.Morgan has gotten approval to pay the shareholders of Bear Stearns $10 per share instead of the origional $2 per share. Has what origionally appeared to be a fire sale become a bail out? Should the U.S. Federal Reserve be using $30,000,000,000 of taxpayer money to provide a line of credit to J.P.Morgan in order to get J.P.Morgan to buy Bear Stearns at any price? Should Bear Stearns have been allowed to go bankrupt? Shouldn't managers of failed companies take responsibility for their mistakes? Do you think that this increase in price per share from $2 to $10 will result in more layoffs in the long run? When a conservative right wing U.S. Government is supporting an action like this, "What does it tell us about the U.S. Economy?"
What do you think?
cnnek
{You can teach a person what to think or how to think; but, you can't do both! It is better to teach a person how to think!}
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Comments
22 November 2004
2 weeks 16 hours
In the words of a former president of the US, we have nothing to fear, but fear itself. That's what this is about, bailout or not.
All our money, and hence all our economy, is based on promises, the belief that we pay each other back. If that fails on a significant scale, the whole thing collapses.
Probably the conservatives in the US government didnt like this. But remember, it was not the government, it was the Fed that did this. The "executive" does not control them very much.
In a practical sense, there are four branches of the government in the USA, not three. The legislative, the judicial, the executive, and the financial.
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if everything is under control, you are not going fast enough (Mario Andretti)
28 June 2006
2 days 11 hours
This is really a what do you think blog; because, I'm very curious about what the members of TDG think about this. So, first of all, thank-you for your input.
I'm sure that besides the conservatives many of the right of center moderates didn't like this. But, the Federal Reserve isn't totally independent. It's semi-independent. In other words, the Federal Reserve free to make its own decisions within a context, and it's usually left alone to do so. The Federal Reserve, however, is answerable to both Congress, The Secretary of The Treasury, and the President vis-a-vis The Treasury Department. They have made the The Federal Reserve justify some of its decisions in the past. Although I don't think that it has ever happened, The Federal Reserve can be made to reverse its decisions after they have been made. Furthermore, The House of Representatives can impeach members of the Federal Reserve Board. Then, whoever is impeached will be made to stand trial in the Senate. If whoever is convicted by the Senate, whoever will be relieved of their duties immediately. So, it would be more accurate to say that the U.S. Government is composed of three independent branches, The Executive, The Legislative, The Judicial, and one semi-independent branch that, for any practical purposes, functions independently, The Federal Reserve.
What do you think?
cnnek
{You Can Teach People How To Think Or What To Think; But, You Can't Do Both! It Is Better To Teach People How To Think!!!}
22 November 2004
2 weeks 16 hours
Right, the system has components that check each other. There is not really anoone at the top. It looks like the president is at the top, but that position does not have total control.
In my theory, any of the 3.7 branches of the government can do what they want for some time. They can then be slowed down, somewhat, by the other branches of government.
That is the whole concept - not so fast, my queen.
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if everything is under control, you are not going fast enough (Mario Andretti)
13 January 2008
3 years 36 weeks
Well first off Morgan is to the FederaL RESERVE what Bush is to the skull and bone ehads..They are all interrelated and therefore spawn ididots like Charlie in England..Next law I would enact ..If you fell on your ass climbing to the stars ..You will be happy to know that it is on you ..sink or swim on your own dime..cancel the National debt tomorrow..How to? Tell them (The Feds Family memebers..that they have 24 hrs to get their shit and scoot..The nationall debt is hereby cancelled due to lack of interest Baron Rothschilds kin better pay attention a boutnty of several dollars has been put upon their asses and the people already signed on hate Zionists ..the bank of england ..and te federal reserve act..stay tuned...Close the doors to the boggest mistake since I got married...and what is it United Nations agains thr U.S, Tell the punks that they have 24 hrs to pack up ytheir dope, nstresses ..Che Guvera posters aand Hugo Buttons..their parking ticjkets are due .,NOW ..no pay ..No Jet plane 4 u ..After airing out the U.N....allow some good and decent contractors to get involved and nake it cheap housing for vets and vets familys ..or turn it into a Brothel..Have Bush do the Pledge of Allegance once without cue cards or cheater notes..When it says and to the Republic for wwhich I stand ..Stiop him there and ask..E Why doesn't it say fot the Democracy for ..Shoulfd keep hil occupied for the next 5 or 6 years awaitoing Dicks help...Taze that dangerous dick ..e needs to gurp dirt for all of us that hate rich white turds..Send my ex wife a letter from Homeland security Stating ..Thnks to your Patriotic ex Hubby , we are pleased to let you lkmow that we are watching..very carefully..everything!..Havce bush sr and jr at the end of his failure to have to do the Peter piper picked a ..deal and any mistakes poutd W in the chain gang ..Sr ..standing gurd at JFK"s eternal flame..Malke Hillary Clinton show us her nuts to once and forever stop the aauf guing...Send Hillary and Bill to Vietnam for pone tour-13 months-- if the survive good..if they don't ..pay beck is good..stop and search all Congressman weekly..Where the hell those shysters hide our moola..aAsk Mc cain how bad hjis ordeal was with me anf 100 other n vets in frony of his kying eyes .and I promise he gets the Bush mumbles ..and crys like a bitch