Sometimes I don't recognize this country anymore. When did we become a socialist nation? When both Democrats and Republicans in the federal government are willing to back a bill that will "loan" $700 Billion to failing business and buy bad mortgages, we no longer live in a capitalist nation with a free market. I realize that the bill failed the first time around and am glad that there are some people in both parties that refused to vote for it, but we all know that it will eventually pass. Capitalism is not a perfect system by any means, but socialism has proven again and again that it does not work. It's a nice idea that makes people feel good, but in the end it only results in high taxes and government controlled programs that are inefficient and expensive. It not only fails to bring the poor up on the economic scale, but it brings everyone else down. There is no incentive to achieve, because it only means more will be taken from you.
I'm all for programs that help the poor. In fact I believe it is our mandate from God. But we need to help them by providing education and opportunities to get them out of poverty, not just giving them handouts. Or in the case of the mortgage crisis providing loans they cannot afford to pay back for houses they cannot afford. How does this help them? Within a few years the bank has to foreclose on their house and they are then worse off than when they started. They not only no longer have a house, but now their credit is damaged.
Because of the pressure from those on the left, the very poor business decisions of those that gave into that pressure, and those who invested in mortgage backed securities (which appears to be almost everyone in the financial industry) our economy is in complete disarray. I've never been one to push the panic button and I do believe the economy will come back, with or without the bailout, but this situation has gotten very serious and is going to be very ugly for years to come. In the long run I believe we will be worse off with the bailout. The only way to pay for this is to raise taxes or borrow more money from foreign countries, further increasing our national debt. Neither is a great prospect. If we would have just ridden out this storm, the market would have taken a hit in the short run and these companies that were run so poorly would have failed as the market dictated. But in the long run the economy would have come roaring back because these companies would have been weeded out of the mix.
As it turns out the economy is taking a hit anyway and there are apparently no consequences for those who caused this mess, only for those of us who had nothing to with it and are left to pay for it. Now, instead of the economy roaring back, we will be paying for this "loan" for years to come, not only in taxes, but in our 401(K)'s and other investments while the CEO's and corporations at fault will still be around making the same bad decisions and we will go through the cycle all over again at some point. In the meantime the federal government will own more and more private enterprise, slowly and steadily controlling more and more of our lives.
What country is this again?
Welcome to the Socialist United States of America.