News Us politics - read first post before comment

[Fadeaway]

I wish this were true, but I've not seen the evidence. Can you cite any?

Venezuela? Oh, wait, that is more of an example of how bad inflation is. I mean, do we really want to carry a stack of 1,000 $100 bills to by a soda?

 

[Deleted member 41765]

and just today I saw a hungry homeless kid in this country.

And what did you do about that hungry homeless kid you saw today?

 

[Fadeaway]

@hodge I think you might find this worth your time. The Truth About The Federal Reserve, Fiat Currencies, And America's History With World Bankers

 

[hodge]

Thanks, Fade, I'll work through it when I'm not so tired :)

 

[Fadeaway]

It's a cartoon and entertaining but very educational as well.

 

[anthony]

CEO salaries have skyrocketed

Global issue and it disgusts me, personally. I understand these people are under immense stress, all they do is work, so forth, but that is part of who they are, what they choose, and is anyone really worth millions of dollars?

 

[anthony]

globalization, immigration, skill based set technologies, unions, etc

Yep... globalisation is a fun one that every country is tangling the messes with right now. Next month Australia has now forced the multi-nationals that want to service Australia, they will pay taxes here for the services / goods sold via overseas head quartered companies and such. No more hiding behind tax havens for them in this country.

Slowly the laws change to suit.

 

[anthony]

I think you might find this worth your time

That reminds me of the one done about the US Fed reserve about the GFC, and how they just printed money from nothing at all. Literally. Printed money from zero assets... just created it for the sake of it. Idiots.

 

[Rumors]

That reminds me of the one done about the US Fed reserve about the GFC, and how they just printed money fro...

Are you referring to Quantitive easement? if so, it wasn't printed from nothing at all. It was, however, a very complex series of events that surrounded shoring up Fannie Mae through the purchase of mortgage back securities which currently hold a surplus to the money printed.
I certainly can't type my complete understanding of the current and past economic system. It would be a book. I can, however try and give people a better understanding of fact instead of perception. I sat on a national bank board for a number of years, went to Washington, met with Feds, and have a fairly substantial background on the subject. It is not how I earn my living, however.
QE was/is a plan that extensively shored up Fannie Mae/Freddie Mac during the global economic crisis. Contrary to what news media would have you believe, the 2007 economic crisis which subsequently resulted in what is now referred to as the "Great Recession" had less to do with mortgages that defaulted, but instead had to do with credit default swaps (CDS) sold by Wall Street. When the crisis began, less than one percent of all mortgages that went belly up were subprime loans. However, AIG, and like companies but for all intents and purposes I am going to use them bc it is a short acronym, sold trillions of dollars worth o,f in essence, insurance against mortgage backed securities. Credit default swaps were sold on the premise that property value in the US never goes down and is the safest investment BUT if it were then this swap would cover any losses. However, the SEC didn't treat the CDS like an insurance policy requiring AIG, and others, to keep reserves of said insurance on hand. Instead they bought planes, paid big money for vacation homes, and gave themselves LARGE bonuses. Credit default swaps are in fact the root of all mortgage evil. Interestingly enough, CDS's were invented by Blythe Masters who worked for JP Morgan in 1994 during the Clinton administration. So, when mortgages went belly up and China, who bought heavily in to American real estate, came looking for their payoff, AIG didn't have any money...imagine that. So, the Fed HAD to shore up AIG, JP Morgan, and others who sold all of these trillions of dollars worth of CDS or 2/3rds of US financial exchange would have been belly up in a week. Literally it would have bankrupted an entire nation. LITERALLY. It is scary to really see this and understand it but it would have happened.
Then enter Frank Dodd which addressed NOTHING that caused the true financial devastation in this country. The rise in real estate occurred during the Clinton administration and was based on his belief that there was no safer place to invest your money than in real estate. He believed in homeownership and made it where just about anyone could buy a home, hence the reason why we had no documentation loans. I am certainly not knocking Clinton for this. It sparked a wonderful economy that lasted 12 plus years and it wasn't his fault Wall Street pushed the envelope. I am not a Clinton fan, but for other reasons however he tried to make investments in to this country and that is commendable. To this day, CDS's still exist. They are still being manipulated, and are still not being treated as the insurance that they really are. There are no reserves, no tightening in regulation, and no answers. Frank Dodd did nothing to address this. It addresses banking and changed the way banks give loans and how banks make money. It truly is scary. AND it is truly the best kept secret in the financial world. It amazes me that no one jumps up and down and screams from the top of their lungs to make this change but it is such a large all that is tied to so many GLOBAL markets, I don't think it will change. There was so much foreign money paid in to JP, AIG on these things it was a ripple effect all over the world. Very, very scary....and very very unstoppable.
I acertainly not trying to pursue some personal agenda here. Yes, I am republican...usually...but sometimes I cross party lines and vote for a democrat bc I believe in their principals. This I can say with the most certainty of all, NOT ALL THAT IS BEING VOICED HERE IS REALITY. I realize it doesn't make it easier for anyone, but it is based on perception but not a true understanding of the complexities of the process. That isn't ignorance, but it isn't educational either. Everything being discussed here is on the fringe of fact but doesn't really get to the meat of the issue. It is what the media presents to the public but not what occurs behind closed doors or what is a reality. You can read all you would like about American banking, economy, and such but unless you are/were in the upper level trenches, you have no idea. You are being spoon fed a line that may be a partial truth but isn't the WHOLE TRUTH. Too many policiticans made too much money from Wall Street to put blame there or it really would bring down the US economy.
Ask yourself this question, what politician doesn't have money invested in Wall Street? Uh, none. They ALL invest. Republican and Democrat alike. Do you think they are going to take down a financial institute that is bringing millions home for them? hell no! They will protect it to death. They will NEVER regulate Wall Street and they will NEVER take them out. Too much to loose on a personal note.
Gotta go... work calls. Please don't take my LONG post as a means to be condescending. I just am passionate about the truth bc I lived it. I don't have a skewed perception based on media reports. I lived the actual story. It was a scary time.

 

[Rumors]

Let me just additionally add that when the crisis hit in 2007, 5% of all mortgages had gone bad and less than 1% of those were subprime. Think about it...5% of 100% of mortgages were bad. Is that enough to bring down a global network of banks and a banking system??? NO!!!!! However, it is what we were spoonfed bc if the real truth had come out, everyone would make a run at Wall Street to grab their money. Think about it and it really won't add up and will leave you wondering why things came down as they did.

 

[scout86]

which is good bc that means when things cost more people make more money.

You're going to have to explain that one to me. The way it works for me, when things cost more, I spend a higher percentage of my income on necessities and less on luxuries. More pancakes & macaroni & cheese, less hamburger.

When prices go up due to inflation, the cost of inputs also goes up. It's true that wages might go up, but that money is going to have to go for food and housing (and insurance, if you can afford it). It's not a net increase for the household. If you're lucky, it keeps piece with rising expenses.

I pay them bc I did well and I couldn't do it without them and I want to share my success. I am not the only one either.

I think that's great! I'm sure you're not the only person who does that. But I'm also sure there are a lot of people who view wages as an input expense

It is what the media presents to the public but not what occurs behind closed doors or what is a reality.

So, why the secrecy?

Here's my personal, tinfoil hat thought on Wall Street. We shouldn't let people buy and sell stuff that doesn't exist in the physical world. If you want to gamble, go to a casino. All those assorted 'products' like packaged mortgages had/have no basis in the real world most of us live in. They were/are gimmick some smart Wall Street type created as a way to generate income for people who play the market and the people who play the people who play market.

I think we'd all be better off if wealth was created by making something task or performing a real service rather than by playing games with other people's money.

Now I have to get to work. LOL

 

[Deleted member 37474]

Usually politics can stir up my ptsd, but today I found reading these posts grounding. Someone mentioned the cost of college. When I grew up, college was just something you do and my parents paid for it. My kids will be on their way soon, but we haven't been able to save anything. This is mostly due to the economy, buying a house in a better neighborhood at the top of our budget followed by a big company "firing" my husband (so they could hire someone in another department) and the cost of healthcare.