Comments on: Why Government Bail Outs Don’t Work http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/ Wed, 08 Feb 2012 17:31:40 +0000 hourly 1 http://wordpress.org/?v=3.1 By: Weekend Reading - July 25, 2008 | Million Dollar Journey http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/comment-page-1/#comment-6741 Weekend Reading - July 25, 2008 | Million Dollar Journey Fri, 25 Jul 2008 09:30:54 +0000 http://blog.canadian-dream-free-at-45.com/?p=479#comment-6741 [...] Canadian Dream explains why government bailouts don’t work. [...] [...] Canadian Dream explains why government bailouts don’t work. [...]

]]> By: Sarlock http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/comment-page-1/#comment-6736 Sarlock Fri, 25 Jul 2008 02:41:06 +0000 http://blog.canadian-dream-free-at-45.com/?p=479#comment-6736 The intent of the stimulus package is to soften the decline of the economy. It's heading for a recession either way, but the hope is that with the cheques it'll be a bit more drawn out and less immediately painful. Of course, as you say, you have to pay for it in the end... and I don't think this recession is going to end with an economic boom this time... more like deep recession, long period of stagnation, slow growth. This is going to spread globally in the coming few quarters. Put your seatbelts on. The intent of the stimulus package is to soften the decline of the economy. It’s heading for a recession either way, but the hope is that with the cheques it’ll be a bit more drawn out and less immediately painful.

Of course, as you say, you have to pay for it in the end… and I don’t think this recession is going to end with an economic boom this time… more like deep recession, long period of stagnation, slow growth. This is going to spread globally in the coming few quarters. Put your seatbelts on.

]]> By: DoubleOurMoney http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/comment-page-1/#comment-6698 DoubleOurMoney Thu, 24 Jul 2008 00:10:24 +0000 http://blog.canadian-dream-free-at-45.com/?p=479#comment-6698 I would much rather have seen more executives go to jail than bailouts as the taxpayer is left paying for the bailout. I would much rather have seen more executives go to jail than bailouts as the taxpayer is left paying for the bailout.

]]> By: ThickenMyWallet http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/comment-page-1/#comment-6693 ThickenMyWallet Wed, 23 Jul 2008 20:12:14 +0000 http://blog.canadian-dream-free-at-45.com/?p=479#comment-6693 Hear, hear! God forbid people actually take responsibility for their lives. I have been wondering lately if the U.S. government should let one bank go under without helping. Wall Street are the biggest capitalist during good times and the biggest socialist once they get themselves in trouble. Hear, hear!

God forbid people actually take responsibility for their lives.

I have been wondering lately if the U.S. government should let one bank go under without helping. Wall Street are the biggest capitalist during good times and the biggest socialist once they get themselves in trouble.

]]> By: Andy http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/comment-page-1/#comment-6691 Andy Wed, 23 Jul 2008 19:17:36 +0000 http://blog.canadian-dream-free-at-45.com/?p=479#comment-6691 Some times small evils are necessary to save a bigger disaster. While I don't like bailouts, market forces get out of hand (naked short selling) and need to be controlled. Some times small evils are necessary to save a bigger disaster. While I don’t like bailouts, market forces get out of hand (naked short selling) and need to be controlled.

]]> By: Richard http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/comment-page-1/#comment-6681 Richard Wed, 23 Jul 2008 15:17:33 +0000 http://blog.canadian-dream-free-at-45.com/?p=479#comment-6681 There's a small chance it will help change people's opinions of the economy, which could turn it around. The economy can be affected by the number of transactions even when the amount of money available stays the same. It's like inflation - if people think it's high they'll start raising prices, driving it higher. So the government sometimes has to make sure everyone believes that it won't let inflation get that high to make sure that it doesn't have to take action. Not very clear, but we are talking about the government :) Bailouts don't always work but they usually seem to be sold as a way to avoid panic and more of the same problem. There’s a small chance it will help change people’s opinions of the economy, which could turn it around. The economy can be affected by the number of transactions even when the amount of money available stays the same.

It’s like inflation – if people think it’s high they’ll start raising prices, driving it higher. So the government sometimes has to make sure everyone believes that it won’t let inflation get that high to make sure that it doesn’t have to take action. Not very clear, but we are talking about the government :)

Bailouts don’t always work but they usually seem to be sold as a way to avoid panic and more of the same problem.

]]> By: Canadian Dream http://blog.canadian-dream-free-at-45.com/2008/07/23/why-government-bail-outs-dont-work/comment-page-1/#comment-6680 Canadian Dream Wed, 23 Jul 2008 14:21:49 +0000 http://blog.canadian-dream-free-at-45.com/?p=479#comment-6680 Some interesting related reading. http://www.reportonbusiness.com/servlet/story/RTGAM.20080723.wrvoxx0723/BNStory/robColumnsBlogs/home Some interesting related reading.

http://www.reportonbusiness.com/servlet/story/RTGAM.20080723.wrvoxx0723/BNStory/robColumnsBlogs/home

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