Lehmann Brothers failed.

[The Buddha]

OK apparently its not even debateable that "it was a mistake to let lehmann brothers fail" I'd have entirely nullified the whole damn thing by letting bear stearns fail, and all the failures in the wake of that, let them all fail. After the losses are realised, I'd step in and clean up the mess, buy up the parts and then pump stimulus into the system. bear stearns will ahve fialed Last March, the whole industry will have collapsed by november. I'd have re priced and re divided everythign by now and the stimulus will be going to real projects and real workers instead of CEO's and manufacturing companies who are firing american workers.
GM. chrysler are submitting plans and receiving loans. Guess what is in those plans. Yes those plans say which factories they will close and which workers the will fire. WTF, what sorta plan is that. By the rich, for the rich, to the rich by taking from the poor.

I'd have let these all fail and take the parts I like first, then the next set of parts, then the next set, then the next set and so on ... like soneone drops a cake on the floor. You dont try to clean up the whole cake all at once. You go and get a plate and a knife. Cut off the top of the cake as its lying on the floor. You first eat that, then you eat the next layer, then the next and then the next.

BTW they think its a foregone conclusion that these companies failing is bad. Really ... how and why. The way I see it, Lehmann was bad only because you didn't let any of the rest fail. If bear stearns had failed, then the next few, Merrill, Goldman etc etc, lehmann bros failue will have done nothing at all. The first 1-2 failures will ahve rocked the world. The next 200 will be like, oh OK this one failed, OK  lets throw its CEO into the cooler and continue on with our life.
That way, we all know when the economy has hit the stable bottom. Yes, when they are all dead. Then true growth begins.
Cool.
Buddha.

[ohgood]

OK apparently its not even debateable that "it was a mistake to let lehmann brothers fail" I'd have entirely nullified the whole damn thing by letting bear stearns fail, and all the failures in the wake of that, let them all fail. After the losses are realised, I'd step in and clean up the mess, buy up the parts and then pump stimulus into the system. bear stearns will ahve fialed Last March, the whole industry will have collapsed by november. I'd have re priced and re divided everythign by now and the stimulus will be going to real projects and real workers instead of CEO's and manufacturing companies who are firing american workers.
GM. chrysler are submitting plans and receiving loans. Guess what is in those plans. Yes those plans say which factories they will close and which workers the will fire. WTF, what sorta plan is that. By the rich, for the rich, to the rich by taking from the poor.

I'd have let these all fail and take the parts I like first, then the next set of parts, then the next set, then the next set and so on ... like soneone drops a cake on the floor. You dont try to clean up the whole cake all at once. You go and get a plate and a knife. Cut off the top of the cake as its lying on the floor. You first eat that, then you eat the next layer, then the next and then the next.

BTW they think its a foregone conclusion that these companies failing is bad. Really ... how and why. The way I see it, Lehmann was bad only because you didn't let any of the rest fail. If bear stearns had failed, then the next few, Merrill, Goldman etc etc, lehmann bros failue will have done nothing at all. The first 1-2 failures will ahve rocked the world. The next 200 will be like, oh OK this one failed, OK  lets throw its CEO into the cooler and continue on with our life.
That way, we all know when the economy has hit the stable bottom. Yes, when they are all dead. Then true growth begins.
Cool.
Buddha.

yep. that underlined part ^^^ - ya, i don't have the links anymore, but GM was professing about BUY 'MERICAN, KEEP 'MERICAN JOBS STRONG, all the while the other side of their mouths were pandering to shareholders about LOWERING NEW HIRE WAGES, FIRING OLD RETIREMENT THINKING, and FIRING OFF HEALTH CARE PROBLEMS.

in other words, f%$k the guys that actually build our cars, we want the profit for US and YOU, not those peons at the bottom.

man i wish i'd saved the links.


btw- where have your semi-coherent ramblings gone ? :| i miss em.

[The Buddha]

The ramblings will continue until the beatings improve.

The beatings will continue until the ramblings improve.

Cool.
Buddha.

[yamahonkawazuki]

So someone has to beat teh Buddha until he rambles on?

[The Buddha]

OK OK new and improved beating comming up, stop the rambling.

OK OK new and improved rambling comming up, stop the beating.
Cool.
Buddha.

[cafeboy]

[grayghost]

i understand buddah, if the only good that comes from the rants is that they understand it's not consentual sex.
rant on man- i'm with you bro.

[The Buddha]

Lets see if I can expand on the original point and see if it can be a ramble.

Lehmann brothers failed. OK before that they bailed out a bunch of em. After that they are propping up a bunch of em. So just letting lehmann fail has shown such severe consequences and thus they said we should not let anything fail, ever.
I think that is fundamentally flawed.
I also think they seem to count in all growth as good and all shrinkage is bad. Maybe imports shrink this year, then domestic manufacturing picks up next year, but imports shrink even more but effectively there is job growth but still shrinkage. Also someone buys a house for 500K, they then get foreclosed upon. That shows as 500K sale and a 500K default, with the bank taking it back as a 500K house. However when someone buys a 150K house and lives in it till its paid up, it doesn't count at all in anything past that first time. BS in numbers. Anyway that is a topic for another ramble.

Anyway If they had let Bear Stearns fail it will have sped up the crash. We will have seen the death of everything in quick succession and the subsequent failures will ahve been just greeted with a yawn, and true re start now. A U shaped recession/recovery. Sharp, short U. Now we'll have an L shaped recession, 2 years + on the vertical of the L and then 10 years slowly getting out. Will hurt low income and people who aren't young and mobile while at the same time not let the older workers work due to lack of jobs, and will not let them retire due to lack of $. Younger workers will move from place to place at job after job and get by. Older workers are cooked. Which I guess is the whole Idea, if we cannot manipulate medicaid/care we'll inflate the $$$ and fire you.

Lost decade, can you say lost century. 2015 on there is definetly going to be a real estate crash. Retiring baby boomers. Of course, houses built with lead paint and asbestos insulation may just as well be knocked down and built over, cos no one is gonna buy em.
Cool.
Buddha.