UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev | Next
Author: Lokicious Big gold star, 5000 posts Feste Award Nominee! Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 35400  
Subject: Re: Times on Financial Sector Bubble burst Date: 9/16/2008 4:17 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
Still trillions of dollars have been lost. And those funds are coming out of investable funds that might stimulate the economy, create jobs and benefit all of us.

Paul, the problem is that this money was used to stimulate the economy at least Greenspan decided to drive down interest rates after 9/11 much too fast, creating the housing bubble. It was all phony money, and at some point the numbers need to add up, which is why the losses now.

The real problem is the country has been living beyond its means for a long time, and more so for the last 8 years (even when the federal budget was supposedly in balance that was with SS surplus and individuals were heavily in debt). Borrowing to live beyond means is good politics: you don't have to face up to most people's real wages falling. But at some point the money needs to be paid back and it is going to hurt.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (4) | Ignore Thread Prev | Next

Announcements

Foolanthropy 2014!
By working with young, first-time moms, Nurse-Family Partnership is able to truly change lives – for generations to come.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Macro Economics

Economic Implications of Cuba
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement