Socialism cannot compete!

Global Market Roundup: Will the Bailout Work?

@Bill James: grammar check, please!

@Shiv: "take time to work its magic"?? There is no magic to it. And it will not work. That was a scam, a farce...it serves only the banks and to further indenture the people, by handing over yet more control to the government. The real solution? Massive cuts to government and massive TAX CUTS. I'm not talking 5% or even 10%. I'm talking, cut the federal government to the core, and a flat tax never to exceed 10% on *anyone*. That is just...and it's overdue. Sooner or later enough people will wake up and demand it. This economic situation may just be the time that it happens. Hopefully!!

Bailout Cost, per Taxpayer, by Income

"P.S. We don’t know all the history behind mark-to-market accounting rules, but wouldn’t temporarily creating more asset valuation flexibility in this locked-up credit market improve capital ratios and reduce the capital infusion requirements, reducing the size of the needed bailout, and grease the wheels of credit a bit?"

Absolutely correct!! We leveraged this stuff up with more flexible models of valuing it...we cannot deleverage it with a strict mark-to-market model, without taking a huge hit. The hit will be hardest upon the buyer who gets in while the market is least functional and therefore paying worst-possible-case prices...and that stands to be the U.S. government! (i.e. taxpayers)

Just Say No to the "bailout."