09-16-2009, 01:47 PM
People can't seem to figure out how serious the situation was. Or they have forgotten. Good post, thank you.
mattkime wrote:
>>So far as I can tell, the bank bailout accomplished nothing for the general public
except that we still have banks.
did you know that banks nearly stopped lending money to each other? that creates HUGE problems and essentially signals the shut down of the modern financial system. businesses were getting cut off from lines of credit that they depended on to continue daily operations, forcing them to fire people, etc.
>>A bailout 10-times smaller would probably have done the same job.
I dont think any economists agree with that.\
>>Other stuff like extending unemployment benefits, Cash for Clunkers and Making Home Affordable have been more helpful and are likely to produce greater public benefits throughout the recession and recovery.
We need a banking system and we nearly lost it. Putting money into the hands of individuals would seem small if the financial system no longer existed.