DBTS's Bail Out Free 4 Point Plan To Solve This Shit
DriftingByTheStorm
Posts: 8,684
I've done some (minimal) thinking,
and these were the most agreeable solutions i could come up with.
Solutions that didn't involve massive government intervention, taxpayer liability, or socialist\facist implications.
So here it is:
1. End the Federal Reserve
Supporting Evidence:
a. Milton Friedman said so; it's the best policy for long term market stability
b. This movie is right, it's a sham
There are several ways you could actually go through with this, from restoring the power of fiat to Congress, or simply ending fiat printing, and allowing the financial system to come up with a secondary form of credit. Eitherway, this item is paramount to ensuring the longterm stability of the US and global economy, and goes far in the effort to eat away at the powerbase of the assholes that got us in to this (watch the movie in item "b").
2. Cut Taxes Dramatically
If the large majority of our economy is consumer spending, and given that the national debt\deficit situation is already wildly out of control, this makes sense. A year or two of massive tax cuts is NOT going to put the long term trajectory of the United States on any worse a path than is, and will GREATLY improve the credit situation in this country.
More money in everyone's pockets (from bankers to consumers) means more jobs available for all, more deposits in suffering banks, less bankruptcies for suffering families, and god willing -- more spending. Spend spend spend.
3. Small Business and Mortgage guarantees for QUALIFIED buyers
Listen to what Rick Santelli had to say Monday evening ... just before the 8:30 mark.
This is as close as my plan comes to "bailout" and it is aimed solely at providing liquidity to those who can afford it, deserve to have it, and were not responsible for this mess in the first place.
If we are going to guarantee liquidity in the markets, lets set up facilities and provisions to ensure that capital goes to "the little people".
4. Break up the largest banks, spread out the debt.
Instead of guaranteeing these monsters against catastrophic failure, lets just nip it right in the bud. Make SURE this shit never happens again.
After these latest round of acquisitions\consolidations, JP Morgan Chase, Citibank, and Bank of America are now responsible for over 35% of ALL the credit in the US economy. They are TITANS.
Lets take those assets, and their associated debts (good and bad) and break them up ... 10, 20 times over. I mean, REALLY BREAK THEM UP. None of this "baby bell" bullshit. End the cartel, split up the ownership, ensure that they are really separate entities with no one controlling them all from the top, and you will go a long way to helping end this crisis, and eliminating the possibility of it ever happening again. By breaking up the large banks, you end an effective credit monopoly ... you create enough competition for loans that you may actually see the credit markets free up just by virtue of the new competition.
This is a no brainer. Along with item #1 it requires some SERIOUS balls, but it seems obvious to me.
Anyone else?
Anything to add?
Lets hear it.
Thats my piece, anyhow.
and these were the most agreeable solutions i could come up with.
Solutions that didn't involve massive government intervention, taxpayer liability, or socialist\facist implications.
So here it is:
1. End the Federal Reserve
Supporting Evidence:
a. Milton Friedman said so; it's the best policy for long term market stability
b. This movie is right, it's a sham
There are several ways you could actually go through with this, from restoring the power of fiat to Congress, or simply ending fiat printing, and allowing the financial system to come up with a secondary form of credit. Eitherway, this item is paramount to ensuring the longterm stability of the US and global economy, and goes far in the effort to eat away at the powerbase of the assholes that got us in to this (watch the movie in item "b").
2. Cut Taxes Dramatically
If the large majority of our economy is consumer spending, and given that the national debt\deficit situation is already wildly out of control, this makes sense. A year or two of massive tax cuts is NOT going to put the long term trajectory of the United States on any worse a path than is, and will GREATLY improve the credit situation in this country.
More money in everyone's pockets (from bankers to consumers) means more jobs available for all, more deposits in suffering banks, less bankruptcies for suffering families, and god willing -- more spending. Spend spend spend.
3. Small Business and Mortgage guarantees for QUALIFIED buyers
Listen to what Rick Santelli had to say Monday evening ... just before the 8:30 mark.
This is as close as my plan comes to "bailout" and it is aimed solely at providing liquidity to those who can afford it, deserve to have it, and were not responsible for this mess in the first place.
If we are going to guarantee liquidity in the markets, lets set up facilities and provisions to ensure that capital goes to "the little people".
4. Break up the largest banks, spread out the debt.
Instead of guaranteeing these monsters against catastrophic failure, lets just nip it right in the bud. Make SURE this shit never happens again.
After these latest round of acquisitions\consolidations, JP Morgan Chase, Citibank, and Bank of America are now responsible for over 35% of ALL the credit in the US economy. They are TITANS.
Lets take those assets, and their associated debts (good and bad) and break them up ... 10, 20 times over. I mean, REALLY BREAK THEM UP. None of this "baby bell" bullshit. End the cartel, split up the ownership, ensure that they are really separate entities with no one controlling them all from the top, and you will go a long way to helping end this crisis, and eliminating the possibility of it ever happening again. By breaking up the large banks, you end an effective credit monopoly ... you create enough competition for loans that you may actually see the credit markets free up just by virtue of the new competition.
This is a no brainer. Along with item #1 it requires some SERIOUS balls, but it seems obvious to me.
Anyone else?
Anything to add?
Lets hear it.
Thats my piece, anyhow.
If I was to smile and I held out my hand
If I opened it now would you not understand?
If I opened it now would you not understand?
Post edited by Unknown User on
0
Comments
As for the taxes, why not lower taxes on tangible production and create (because they don't even exist) taxes on speculation and stock/currency movements? It would be a win-win tax for (almost) everyone.
Because that would fly in the face of the free market fantasy some people enjoy so much.
I agree with you btw about taxing financial movements. Hence my attac membership.
DBTS, just out of curiosity: since you want to neuter and reduce state powers in the economy, then who is gonna do that break-up you prescribe in point 4?
Peace
Dan
"Every judgment teeters on the brink of error. To claim absolute knowledge is to become monstrous. Knowledge is an unending adventure at the edge of uncertainty." - Frank Herbert, Dune, 1965