Quote:
Originally Posted by wtm442
Totally Wrong. Joe six pack will always be able to buy beers.
The current mess started in the financial community ... period. It had absolutely nothing to do with the unemployment at 5%. But the end result WILL be higher unemployment if the bailout bill fails.
Most small business and banks are finding it extremely difficult to get short term loans (less than a week). They are afraid that the other institution might go belly up in a few days, so short term borrowing is extremely tight.
This has spread to Joe Six Pack trying to get a car or house loan. He would have gotten the loan 6 months ago, but he may not get it in today's economy.
You can thank Barney Frank and Dodd for this mess (plus a ton of other Democrats, Republicans and shady wall-street types). It started to unfold many years ago.
Now, because Joe-six-pack does not have the money to buy a house or car without a loan, Joe six pack's brother loses his job at the auto dealer.
And around and around we go.
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Warren,
Joe is already cutting back on beers (well maybe not beers, but he is buying them and drinking at home more instead of going to the more expensive bar), cars, and everything else. WSJ (or some other rag) had articles earlier this week about how sports franchises may offer buy now-pay later plans for sports tix, as well as how charitable donations are down. GMC is also not going to give loans unless you have over a 700 FICO score. How many cars do you think are going to be sold?
There are LOTS of people to thank for this mess - it goes a LOT deeper than Frank and Dodd, and I appreciate that you include GOPers and WS types as well. Oh, did you hear about one of our local banks (Sovereign) having a small run before being bought up by a Spanish firm?
Bernie,
But at least a Nihilist will eventually wipe because Nihilists know (unlike some here) that poo does indeed stink regardless of whether it is on the left or right cheek.
Steve