The Great Bailout

I imagine that, like myself, most people are watching the progress of this huge bailout request by Paulson and Bernanke that is creating a huge debate right now. Judging by what I personally am reading, the common thread appears to be that people are not reacting favorably to the idea.

I've read quite a few articles from quite a few sources today.

The common responses tend to be:

• People don't believe the taxpayers should be responsible for the failures that brought us to this point.
• People object to writing a "blank check" for one person to cash and spend as he sees fit without oversight or responsibility.
• People believe the money will, in a sense, reward the behavior that caused this trouble.
• People believe the money is only going to help the wealthiest people and shaft those who are struggling.

How most of this whole, big, huge, ginormous problem came to be is outlined in this illuminating article at Kiplingers. It's a great read and I learned quite a bit I didn't already know.

The one thing about this whole mess that really bugs me is when I read comments that are really negative towards the home-buyers facing the whole mess of foreclosure. For example, when I read something like:

It's people buying houses they couldn't afford in the first place that got us into this mess.

Well, who does? Most people don't do that. And I find it difficult to believe that the vast majority of people did do that. That's not saying that no one does, but still . . . How many people buy homes expecting they will be laid off? How many people buy homes expecting they or someone they love will suffer a debilitating illness?

Personally, I'm not in favor of the bailout. I don't understand why the companies in danger were allowed to get so large that their failure would also mean the collapse of our economic system without some kind of government intervention at the taxpayer's expense.

Anyway, just my two cents for the day. Feel free to chip in your's . . .