The US Senate has approved the US$700 billion bailout package to save the moribund financial sector from biting the dust.The contentious bill is expected to go back to the House of Representatives tomorrow for final approval by congressmen.
This is the biggest bailout in the history of America without which the economy could go under and into serious depression similar to the Great Depression of the 1930s which started with the meltdown at Wall Street on 29 October 1929 that precipitated widespread panic and the onset of a prolonged depression not only in America but throughout the world.
Chicago, 1931
Shouldn't the top billionaires in America who probably had benefited much from the troubles of the financial markets also be asked to come to the rescue?
Much of the troubles started from highly innovative and risky financial derivatives, over-extended credit,over-speculation of trading in stocks and bad financial management.Some of the top CEOs in America are undeservedly overpaid with some having pay packages running into hundreds of million.Their over-indulgence in highly speculative financial derivatives were the cause of the meltdown.
In America,the poor getting poorer ,the rich getting richer and the taxpayers getting screwed.
The financial system has gone completely kaput.The banks assets to capital ratio are diminishing every day and whether the US$700 billion is sufficient to save the sinking ship is not yet known.
The rest of the world should brace themselves for the shock waves that may reach their shores soon.
6 comments:
Hantu, i can't agree with you more. I myself have been very critical on this bailout issue.
Just another move to safeguard their cronies interest with taxpayers' monies.
Like what Mamak did during the 97 financial crisis. Remember Khazanah and Valuecap? MAS at RM8, Renong at 3.80 all those shits..
Same is going to happen there. End of the day, the people gets fucked big time.
Feedback from the House now is that the Congressman is now listening to the ground. There is a chance of voting out again tomorrow.
Where did the money come from? I thought the US government is bankrupt? Isn't the US government the biggest debtor in the world?
Molongkolong
HL,
Yes, it's another move to save themselves. However, what's wrong with that?
Najib has just said that America is not our biggest "business partner" or something to that effect. It seems Japan & ASEAN is. How true is this? Is it one of the typical "crap" that comes out regularly from our Government? I hope it's true because if it's not then we are in for a "horrendous" time ahead!
the whisperer,
You are absolutely right the taxpayers are paying for the gambling losses on Wall Street.
The collapse of these two American behemoths would mean a lot of very very rich people are going to see their fortunes diminished in value.
molongkolong,
The government is not bankrupt yet.It will be if the money they put in to bailout those sick companies didn't work.
sm,
That's political talk.If America goes down it will pull the rest of the world with it.
Our politicians think we all are kampong folks that can be fooled by their empty talk.
Malaysia is a big exporting nation and that will spell trouble for us if the US economy goes down.We are not insulated from a US or global downturn.It would be perilous to think so.
Post a Comment