Fannie Pack-age

Congratulations, you are eligible to lose about 1.5 to 5k dollars. With the numbers still rising on the Fannie Mae and Freddy Mac bailouts we can be rest assured that we will be paying the bill. Let’s forget for a moment the ignorance required to believe this is a good idea; let’s ask the question "How is this even constitutional?”

There is nothing, nothing in the constitution that allows this. What is this you ask? Well literally buying three companies (Fannie Mae, Freddy Mac and AIG). The government will get the stock majority of these three companies and essentially run them into the ground. Apparently a bunch of House Dems took us seriously when we told them to “try running their own company”. The federal government is supposed to dismantle the failed corporations once the bailout is complete but this assumes the government actually does what it is supposed to do. Sorry if I don’t believe their sincerity, but then again this same government said Social Security is to be used only for Social Security.

Understand that when the government says you will bailout Fannie and Freddie (no I did mean you); it means the debt incurred by the “inevitable” bailout. I wonder what Biden would say about this. Whether or not he supports this is probably determined by how it affects Amtrak. No this is a problem for Barrack Obama. He has received the second largest amount from PACs and individuals associated with Fanny and Freddy totaling $126,349. (individuals includes employees of those two companies. Data courtesy of OpenSecrets.org)

This debt incurred will start as half a trillion to, some say, as high as 1.8 trillion dollars but we have to pay interest on that sum too. In the end we will all bite this big one. Not because we have to or even should, but because the government has once again started playing SimCity with the market. Somehow throwing money at the problem seems like the opposite of what we need to do.

Don’t get me wrong either, this once again is a bi-partisan effort to screw us all. G.W. himself said we ‘need’ to do this. Seems like every time I can start to be happy again about him being in office he says something stupid. McCain has also bought into this dogma. God save us all.

I suggest we forget this all. Let every company that is going to fail do just that, fail. Sure, the stock market will take one hell of a hit. Many people will find themselves in trouble but in the end the stock market will strike back strong and most people will get their assets in order. However if we go down this path, which believe me we will, then the entire U.S. economy will suffer for it. The corporations will suffer from higher taxes and our countries credit will crumble further. Inflation will definitely occur and in the end someone will make millions writing a book about how we might have made a mistake. Well someone has to benefit from this.