Bear Banking

Oh, those capitalist risk-takers! They sure hate government intervention… until they’re in trouble, as victims of their own greed. Now that the Fed has agreed to back a loan to keep Bear Stearns afloat, what about every other large financial institution that runs into trouble?

[Treasury Secretary Henry] Paulson would not discuss what would have happened if the government didn’t extend a financial lifeline to Bear Stearns. “I’m not going to speculate about what ifs,” he said.

This is a ridiculous statement! The Fed and Treasury wouldn’t have acted unless they had an idea of what would happen if Bear Stearns went under. Bailing out Bear Stearns may be reassuring to Wall Street, but I think it’s scaring Main Street.

6 thoughts on “Bear Banking”

  1. This morning, Asian stocks have plummeted in response to this bit of news. Big cry babies. Like you said in another post, Doug, “They bought their tickets, they got on board, I say, let ’em crash!”

  2. Here in the US the Republican credo is free market, get rid of government regulation. They get what they want, and this is what we get. And then when things turn sour they expect to be helped. Most of these men made millions of dollar EACH, just last year ALONE, and now they’re begging for a handout to save the corporation that they ran, giving themselves those millions. It’s sickening.

  3. The half witted knuckle draggers that are supposed to be running Britain did the same with one of their banks “Northern Rock” or Northern Crock as we prefer to call it. They bailed it with a guarantee of £100 billion (over $200 billion). So what happens when the next one goes belly up, I don’t know.

    I doubt the idiots have another 100 billion lying about. I hope the Chinese have money to spare, or the Saudis.

    Roll on independence for Scotland. This lot couldn’t find there way out of a wet paper bag..

  4. And now VISA is hoping to garner BILLIONS by going public with its stock. Tom says he wouldn’t touch it with a 39′ and a half foot pole!” A strange, not brave new world is becoming a reality right before our eyes.

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