tag:blogger.com,1999:blog-4159906646513306121.post6646199775150688961..comments2023-11-19T20:38:50.237-08:00Comments on Economic Logic: I am upsetEconomic Logicianhttp://www.blogger.com/profile/10171296292101248614noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-4159906646513306121.post-45514985424713617182008-11-18T11:18:00.000-08:002008-11-18T11:18:00.000-08:00"stop scaremongering and claiming something needs ..."stop scaremongering and claiming something needs to be done immediately and hastily"<BR/><BR/>I, of course, agree that the policies proposed are not very logical or sensible.<BR/><BR/>But, I would be interested in why you think panic is not justified. The situation seems dire to me. And, unsuitable policy responses don't reassure me. But, you, apparently, are not frightened. Why?Bruce Wilderhttps://www.blogger.com/profile/09631065564839959376noreply@blogger.comtag:blogger.com,1999:blog-4159906646513306121.post-6992158129010592172008-10-02T15:02:00.000-07:002008-10-02T15:02:00.000-07:00I am amazed. We are not that far apart here. I s...I am amazed. We are not that far apart here. I suggested Uncle Sam buy subordinated debt in the companies looking for bailouts. Rate: prime plus 8%, take it or leave it. They don't like it, file bankruptcy.Independent Accountanthttps://www.blogger.com/profile/07800220849565219709noreply@blogger.comtag:blogger.com,1999:blog-4159906646513306121.post-60076472916204674222008-10-02T13:19:00.000-07:002008-10-02T13:19:00.000-07:00I'm not quite sure what the problem is. As I under...I'm not quite sure what the problem is. As I understand it, the problem is that credit is not available for even solid businesses and people with good credit. I don't understand why.<BR/><BR/>If people are just not investing in some banks because they are at risk of collapsing, there must be banks that aren't at risk. I have money to invest, and there's business out there that needs a loan. One bank as an intermediary should do the trick.<BR/><BR/><BR/>Or is the issue that:<BR/><BR/>1: The banks in trouble are in danger of collapse because investors are pulling out because of the risk.<BR/><BR/>2: Collapsing will cause a lot of unnecessary economic pain even beyond the bank and its shareholders if they had to liquidize.<BR/><BR/>3: If only the investors would not panic and would stay invested, the banks would recover on their own, but keeping investors in may require easing their risks through a bailout.<BR/><BR/><BR/><BR/>Because if the issue is only about protecting shareholders, a bailout seems wrong on it's face. But if it's about an economic domino effect for others through no fault of their own... Then that is the only scenario that even starts to make sense to me. Am I way off?T-Bonehttps://www.blogger.com/profile/02555560301535122149noreply@blogger.comtag:blogger.com,1999:blog-4159906646513306121.post-23634549211097257662008-10-02T05:15:00.000-07:002008-10-02T05:15:00.000-07:00I am also upset. One could also add that Washingto...I am also upset. One could also add that Washington is once more pushing this myth that this measure will pay for itself. Bullocks.Anonymousnoreply@blogger.com