When will the US financial baillout occur?

[mongon]

Yeah the Rs came up with a bullshit plan. There is some question whether there are enough votes in the House to get the bailout passed so the fight is not dead yet.

 

If this bailout did not pass, I guarantee you that Paulson will have another plan on the table ina matter of days because there has always been another alternative. We just haven't been told about it.

 

BKKT I will get back to you another day with the proof you seek :thumbup:

[Bangkoktraveler]

Yeah the Rs came up with a bullshit plan. There is some question whether there are enough votes in the House to get the bailout passed so the fight is not dead yet.

 

If this bailout did not pass, I guarantee you that Paulson will have another plan on the table ina matter of days because there has always been another alternative. We just haven't been told about it.

 

BKKT I will get back to you another day with the proof you seek :thumbup:

 

What I would like to see is legislation that the Democrats proposed and then pushed and got.

 

Right now both sides are slinging shit which as far as I can see, only sticks with them.

 

[Flashermac]

Brazil's Lula calls US bailout plan unfair to poor

 

BRASILIA, Sept 28 - Brazilian President Luiz Inacio Lula da Silva blamed the United States for the global financial crisis and said its financial bailout plan was unfair to poor people.

 

U.S. lawmakers on Sunday were set to sign off on a deal to create a $700 billion government fund to buy bad debt from ailing banks in a bid to stem a credit crisis threatening the global economy.

 

...

 

 

[color:red]"Why give $700 billion to the banks and no money to the poor guys who lost their houses,"[/color] Lula asked, according to local media. He referred to the troubled U.S. housing market.

 

The former factory worker, who obtained record approval ratings this month, said the United States had the primary responsibility to fix a crisis with global repercussions that it had caused.

 

"I'm not at fault if they turned their economy into a casino," Lula said in reference to accusations that lax U.S. financial regulations worsened the crisis.

 

 

Link

[Hugh_Hoy]

Lula...he needs to work on his own VAST domestic probs before he starts throwing gravel. Slums in the shadows of bright, shiny condos and blocks from mansions, crime so high that there is at least one kidnapping for ransom/day, poverty-stricken folks in the north of his country who can barely feed/clothe themselves. What a wanker.

 

HH

[soongmak]

That's why there is no loan crisis in Germany. In Germany for to finance a house you always need to bring a substantial amount of money.

 

With this system we have two results:

- People who never could afford a house never will own one.

- Real estate price increases are in the 5% bracket or less. This prevents short term speculation and a mortgage bubble like in the UK or Ireland.

 

Sometimes it has it's advantages to live in a society which is a little boring because it is fond of regulations.

 

I think you are being a little smug here. Don't think we won't get a loan crisis in Europe. According to Daniel Gros, director of the Brussels-based Centre for European Policy Studies, the largest European banks have a leverage ratio - which measures shareholders' equity to total assets - of 35 compared with less than 20 for the biggest U.S. counterparts.

 

If you look at Deutsche Bank, it has an equity to total assets ratio of 47! Some people think that the credit crunch will hit Europe harder, simply because our governments are smaller, our banks are bigger, and with a worse equity to total assets ratio than the big banks in the U.S. My prediction: If the biggest banks in Europe go tits up, the european governments won't be able to bail them out.

[kamui]

That's why there is no loan crisis in Germany. In Germany for to finance a house you always need to bring a substantial amount of money.

 

With this system we have two results:

- People who never could afford a house never will own one.

- Real estate price increases are in the 5% bracket or less. This prevents short term speculation and a mortgage bubble like in the UK or Ireland.

 

Sometimes it has it's advantages to live in a society which is a little boring because it is fond of regulations.

 

I think you are being a little smug here. Don't think we won't get a loan crisis in Europe. According to Daniel Gros' date=' director of the Brussels-based Centre for European Policy Studies, the largest European banks have a leverage ratio - which measures shareholders' equity to total assets - of 35 compared with less than 20 for the biggest U.S. counterparts.

 

If you look at Deutsche Bank, it has an equity to total assets ratio of 47! Some people think that the credit crunch will hit Europe harder, simply because our governments are smaller, our banks are bigger, and with a worse equity to total assets ratio than the big banks in the U.S. My prediction: If the biggest banks in Europe go tits up, the european governments won't be able to bail them out.[/quote']

 

You are correct, that European banks are in danger as well. But I was talking about core of the US crisis which led to melt down of the banks.

 

Anyway, German banks and the the German government (which means us tax payers in the end) had to bailout German "Hypo Real Estate" with 35 billion Euro, otherwise it would have not survived Oct. 1 (repay day of loans).

 

The US banking illness is spreading and it is becoming obvious that it is going to get worse in the next weeks.

[..]

OK< I'm out for a long night in Bangers, and am *very* mao (pissed, in Thai), but...

 

So, the bill fails. You have to wonder how this happened!!! All morning we've been hearing (at least on da CNBC feed I've been watching) that the Dems said they could deliver half and that they needed the GOP to deliver half. And now we see the Dems have delivered far more than half and the Republicans whiffed. Did the GOP lie and stab the Dems in the back or did the Dems bring this to the floor knowing it would fail? (I think you can guess what I'd bet on.)

 

Not that I'm a gambling/poker guy, but...this is getting very, very interesting...

 

Cheers,

SD -- not at all disappointed it failed (I think it's an armed robbery), as much as it hurts me to say as a partisan (tho' I trust Kucinich and Roubini much more on this.)...

 

[Steve]

Politics of bailout engrossing, dumbfounding

 

a couple interesting excerpts:

 

...Some experts dispute the Bush-Buiter analysis. One school argues that the financial system is a mere â??veilâ? wrapped around the rest of the economy. Strip it away and other business activitiesâ??the development and marketing of new products; families buying clothes and going out for mealsâ??will go on unabated. If a bank that was performing a valuable function fails, another will spring up in its place...

and

 

...Paulsonâ??s first proposal was suspiciously vague and scandalously arrogant. In addition to requesting authority from Congress for the Treasury to spend seven hundred billion dollarsâ??about five per cent of the value of all home loans outstandingâ??on â??mortgage-related assets,â? the draft legislation he circulated said that the Treasury Secretaryâ??s actions â??may not be reviewed by any court of law or any administrative agency.â? After protests from all sides, negotiators from both parties in Congress and from the Treasury put together a much improved plan, under which the Treasury would be granted access to three hundred and fifty billion dollars, but with a strong oversight board and an independent Inspector General monitoring its actions, and with the Government Accountability Office reviewing them...

 

 

[Steve]

SD, I know its your home state but I'm against this one as well.

 

Analysts say Big 3 need loans quickly

Congress authorized $25 billion to help automakers retool factories

 

Okay, I want to know what were doing before? Detroit has been poorly run for years. The japanese look long term and Detroit still looks short term.

 

Levin says it's important to get the money to automakers within six months, because that's the time they're retooling factories for a big rollout of fuel efficient 2010 models. General Motors and Ford each have announced new small cars for 2010, and GM and Chrysler have committed to rechargeable electric cars in the same year.

[mongon]

The auto companies will get the loans they are after. Michigan is a swing state and the auto unions also want to see the loans come through. The Dems in Congress will deliver to the unions and the state will go to Obama.

 

The auto companies need the loans to transform their factories so they can produce fuel efficient vehicles. Hard to believe. Its almost 2009 and they don't already have this capability?

 

 

For those of you who are concerned about the U.S. gov's fiscal health (an oxymoron?), you might be interested to know that the Dems in the House passed a second stimulus the other day. No, I'm not joking. While the Dems were negotiating and promising passage of the $700b bailout, they decided to pass a spending package of $60b with a bunch of Dem spending programs included. The Rs voted against it to no avail. No need to let a little bailout interfere with your spending plans.

 

But don't lose sleep. Bush the valiant has promised to veto that nasty little spending bill.