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crazy... One solution being floated in

Posted by henleyoc on 29th of Sep 2008 at 09:05 pm

crazy...

One solution being floated in the Senate, however, might work precisely because there would be no real winners. The Senate, where the bill has more support among Republicans than in the House, would take the lead and attach the bill to a resolution that continues to fund the federal government through the election. That is a measure members have a hard time voting against, and if the Senate then adjourns, the House would pretty much be forced to swallow the Senate's single bill. House members would then be forced to vote for or against the budget along with the bailout, giving them a measure of political cover. In the end such an approach may be the only viable way out of a fine mess that has left markets reeling, the economy on the brink of collapse and Washington looking once again like the dysfunctional place that both Barack Obama and John McCain have pledged to change.

http://www.time.com/time/nation/article/0,8599,1844732,00.html?xid=feed-cnn-topics&iref=werecommend

 

we shall see if the

Bush

Posted by henleyoc on 29th of Sep 2008 at 03:50 pm

we shall see if the republicans are still elected when the economy grinds to a halt. voters won't care less about whether or not they voted for or against the bailout

a better solution

Posted by henleyoc on 26th of Sep 2008 at 10:43 am

For what its worth, I think the bailout is the wrong solution though. Better would be to use $700b to buy every single house currently in mortgage default in the US as at 5:00pm on 26 September 2008 thereby clearing the mortgages and then rent the houses back to the occupiers at reduced rent. Then in a few years offer the current occupiers a stepped buy-back plan.

Its a better solution because it purges the US of crap mortgages completely, helps clear the housing overhang and helps keep people in their houses.

bloody moron.  next president should impose a poll tax of $2200 in florida for every adult voter to pay for the bailout, because of their stupid actions, america had to have

they will drop the target rate by 100bp if they have to.  credit market is f*R£($**$ today.

If you want to short,

WB

Posted by henleyoc on 26th of Sep 2008 at 09:19 am

If you want to short, sell a call and buy a put at the same value - effectively a futures contract

This crisis presents a STRONG ARGUMENT for every country to have at least one retail bank that is owned by the national government.  This used to be the case in the UK and commonwealth countries.  If this was the case, other banks would also need to compete on safety of deposits.

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