I wish that republican "small govt." was small and not buying 80% of a huge insurance company, but they are. Enter Obama. Democrats tout more regulations and more government involvement which means higher taxes to pay for the government employees. Exit my dreams.
I am really not against Obama, and I'm not for McCain. I just hope that someday an individual will get elected to manage the govt. and not abuse it.
I am not trying to kick those that are affected by AIG's greed, but I think AIG should have crashed and burned, because that's what the market called for. Maybe we should pay a little more interest (that might help people buy houses/apts/cars/etc that they can truly afford). Maybe that will help put pressure on CEOs/CFOs to have strong ethics and solid growth that moves with the market and doesn't get manipulated by taking out massive loans in expectation of getting money someday down the road to pay it all back.
On another note, how come these accounting practices/NYSE practices have not been reviewed/revised since Yahoo/Enron/Fannie Mae/Freddie Mac ?! When a business says that it can take the debt, then it needs to be reviewed to make sure that it actually can.
I met a politician that I actually share a lot of views with the other day by the name of Chaffetz. He seemed like he wanted realistic improvements in a lot of key areas.
Anyways, my dreams aren't completely dashed, but they could be in the next 15 years or so.
-Eric
13 comments:
Yeah. What happened to free markets, deregulation? The Republicans are going the wrong direction... I guess they think they have to in order to compete with the democrats this year, but that's the wrong reason to do something.
Seriously, I can't believe after Enron that they could get away with such sleazy accounting practices! Then for us, the American Taxpayers, to have to bail them out... Oh man, I'm seriously considering moving. But where?
Switzerland.
General accounting principles in the US are going to change. It has been announced that U.S. public companies will be required to switch to IASB standards (international accounting standards)which is good and bad. I guess IASB standards are less rigorous than what the U.S. uses currently. However it will allow foreign companies to be on the NY Stock Exchange and leads to an even more integrated global economy. It'll be interesting to see what happens...
good. I support the IASB. I also support taxes on imports to foster things being made in the good 'ol US of A. I keep telling Cindy that I'm going to run for office when I'm 40 to make this nation great again.
Nice post. I also wish that the government would shrink. Unfortunately, Bush's "compassionate conservatism" has cut taxes while ballooning spending: good on one side, bad on the other.
One comment: no one in today's market can really make sure that they can take on debt. Almost everyone in the financial market is both a creditor and a debtor. If the people that owe you don't pay, then you can't pay the people you owe. We're seeing the bad results of that fact rippling through the economy right now. There's certainly also a lot of mismanagement involved, though.
I recommend private companies. Look at SAS for a good example.
Listening to the reasons for the most recent bailout went all the way back to the 1930s depression (the bailout after the suffering was the New Deal). One commentator pointed out (and I would like to verify) that we have actually made money in the long run on other bailouts. I wish someone would spell it out so I could really understand it. I do get the greed and lie part, though.
A brilliant discussion, folks! I just read the news about the House rejecting the bailout legislation. Then I read about what has been happening as a consequence across the globe--Euro losing value, oil price dropping, other world markets quivering, etc.
What happens here doesn't stay here. It will be interesting to see the fallout from the failed bailout. And whoever the PEOPLE blame will NOT be the next party in the White House.
If our market crashes, so goes the world...Prepare for hard times fellas! Just remember about 10 years ago Pres. Hinckley said get out of debt....As for democrats vs republicans, who wants more incompetent government involvment...um...democrats? I may not like McCain, but I've hardly ever agreed with a democrat.
-Stephen
Great post. It certainly is troubling. I don't particularly like the idea of privatizing profits and socializing loses, which is what the bailout feels like. But bailout or not, it will be all of us and the rest of the world who will feel the hurt. Stephen brings up a good point about Pres. Hinckley telling us to get out of debt years ago. I had a chat with a neighbor about it yesterday after church, since my lesson was on this topic. No matter what happens, if we follow his advice (get out of debt, food storage, etc.) within our own families we'll be alright.
I agree that it will be tough for the next couple of years, but I'm glad that we didn't go through with the bailout. I've got a little bit of foodstorage. Maybe it is a good time to make sure I've got a bit more.
Thanks for your comments! I'll play you boys in monopoly if you ever feel like you don't have enough money or property :)
Did anyone watch Oprah with Suzie Orman(not sure of spelling)? She was fabulous on the financial crisis. She talked about how everyone from main street to wall street have been living a lie. Spending more than they have--and acting like they have it. Why is it so hard to live within your means?
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