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#1 (permalink) | |
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Highly Enlightened
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A perception on how people perceive things differently and stuff...
So I was just thinking about how people seem to perceive things in regards to politics and the state of the economy and world. I came up with my own perception.
lol It seems --to me-- some people (especially around here) have it all ass-backwards. Or somebody may know and put some good thought into a particular topic and then their fucked up biases ruin it all. Which led me to more thoughts and reading and pondering the reading and so on and I noticed something. All this time this White House has not been saying everything is fine and dandy but in reality they've been saying that this has and will continue to be one of those times in our history where we struggle and define ourselves once again through the tests of time. They've been saying that these times are the roughest since the Great Depression. They've been saying how grim things are and how it's going to continue to be tough for a long time. They say all these things yet people still say things like this, http://www.tampaforums.com/forums/fr...1/#post4031944 Quote:
![]() So I continued pondering and reading. I come to the conclusion, after years of research and debate, that there is no question whatsoever that the government has softened the blow of the recession through different types of stimulus, like unemployment checks, tax breaks and credits, buying up toxic assets, injections of billions into the market here and there. In other words giving and taking. Yes, it sucks that this happens but on the other hand it keeps us economically stable instead of losing everything. So does that mean things are great? No, it means things are gonna suck for awhile. It's like spreading out all the debt to make it easier to deal with. These are tools and strategies all super powers use. Name one rich nation that has not done a stimulus. They've all done it and are doing it. It's just a part of a long list of strategies to use when dealing with the various problems that they face. Everything has pros and cons. /end rant
Last edited by XYNaPSE : 11-01-2009 at 07:14 PM. |
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#10 (permalink) | |
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Highly Enlightened
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Another example of how a biased view distorts reality. The exact same example as the one I quoted from Chuck. |
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#18 (permalink) |
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When I read your post
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none of the things the government done has helped...it's not a matter of perception, it's a matter of economic principle. you obviously haven't researched anything.
what made this bust necessary? the intervention on part of the federal reserve and the federal government of 2001-2002. the government came in with their idiocy, printed a bunch of money, provided subsidies to subprime lenders on cohort with freddie and fannie, and provided the air necessary to inflate the real estate bubble. if the government had not provided that stimuli, there's no way home prices would've gotten out of control like they did, there would've never been all these worthless financial instruments, and there never would've been a housing bubble, we wouldn't be in a recession right now. it's the unintended consequences of government intervention in a free market that distorts the market and causes the malinvestment that necessitates the bust - why do they interfere? because they think the only way they can can re-elected is if everything seems rosy. if people had to finance home prices with their own savings, of which we had very little domestic savings at the time, home prices couldn't have been bid up in a speculative bubble - NO ONE COULD'VE AFFORDED THEM! Obviously the banks want to keep customers, so prices would've been kept in check - and historically, it's LENDERS that provided a check on home prices. but back in 2001-2002, something odd happened...there were false signals sent by our central bank by lowering interest rates. this coupled with the moral hazard of the greenspan put, too big to fail, the hazards at freddie and fannie, all contributed in a very very big way to the housing bubble....if you fail to realize that, you simply fail. wall street was drunk, main street was drunk, the whole country was drunk.....but where'd the get the alcohol? |
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#19 (permalink) | |
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Highly Enlightened
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#20 (permalink) | |
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When I read your post
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the fact that government temporarily postponed the pain by buying up toxic assets isn't a positive, it's merely made the inevitable collapse of those instruments worse. real estate isn't a gold mine, it's not going to go back to the bubble, so these instruments are fucking worthless, they should be liquidated. but what we've done is print a bunch of money to buy things no one would touch, and for good reason, THEY'RE WORTHLESS! it's not perception, it's reality. Last edited by Josh : 11-01-2009 at 06:35 PM. |
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