Monday, March 31, 2008

The bail outs

so far John McCain is the only one, im my opinion, that has got it right on the housing/financial mess we find ourselves in now. The govenment cannot and should not be the borrower of last resort. People(home owners) and companies(Bear Sterns) should not be bailed out by the government. If you purchased a house with one of these questionable loans, that is your fault, not mine. What about the people who got into "good" loans and have made the payments and now will have to bail out people who bought houses that they could not afford? What do they get? Where is their bail out? Many of the people who are suffering in the housing mess bought houses they could not afford unless done with one of these questionable types of loans, or they were merely speculating that housing prices would continue to raise and they would be able to refi over and over again and pocket the equity. When you speculate in a market and are wrong, you lose. Thats the way it is supposed to work. The same with Bear Sterns. The government should not have bailed them out for one penny. They speculated and lost and they(shareholders)should have paid the price for it. The government shouold not be interfering with that.

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