Blogs » A Constitutionalist & Believer in Natural Law » When are the bailouts going to stop?


   I recently read that GM and Ford is on the verge of asking for a bailout. Bear Sterns, Fannie Mae and Freddie Mac and now the auto industry.

   Just how much will this cost the hard working American Taxpayer?  I mean, it use seems like absolutely none of these organizations have done anything for the people in the south, especially here in Texas.

   Bear Sterns let not only their top corporation officers, but even their mid-mangers walk away will millions in bonus money.  They were handing out sub-prime mortgages for homes between a quarter of million to $600,000.00 like it was Christmas candy. The more mortgages that closed the more their staff and officers got in bonuses. Then the loans started going bad, individuals that had made the millions started bailing out early. The individuals in charge when the door did fall shut, were the ones left in the dark. Talk about corruption in corporative America. I content the greed and corruption started with the Board of Directors.  And I have read the bail out was done to prevent the start of chain of bank collapses, starting with Chase.  Now, that would have burned the a** of many Texans.

   Fannie Mae and Freddie Mac, I can remember when they were government ran and operated programs.  Guess the bonuses that started with sub-prime loans could not halt  these lenders.  There was  just too much to money to keep out the greed and corruption.  After all turning away a questionable loan would mean a smaller bonus check. 

  Now, GM and Ford were running high on the SUV bandwagon when gas prices and the tightening of financial credit market hit them hard. I find it hard to feel for the workers in the auto industry. They are facing lay offs and reduced benefits.  And I hate to see anyone lose their jobs, because it hurts the entire family.  But, only in the auto industry will you see the clean up staff get $20.00 an hour. They want a bailout so they can retool for smaller hybrid vehicles.  The alternative to a bailout is to let them fold or be sold to a foreign corporation.  It amazes me that union workers generally talk against trickle down economics until it relates to plant closing.    Looking at our current political leadership in the Congress/Senate and a lame-duck President, I contend a bailout will happen.  I wonder, if they will extend the bail out to Texas coastal counties.