Thursday, December 14, 2017

Bail-Out

Posted on November 26, 2008

Where do I start with this? It seems the word “bail-out” is the most popular phrase in government these days. While our economy continues to slide down the hill into the abyss, the government insists on running up the dept in order to “stimulate” it. I just saw one figure that estimated the total costs of this “welfare” package could reach or exceed $7 trillion dollars. That’s correct, $7 TRILLION DOLLARS! Let me put that into perspective for you; 7 trillion seconds ago the year was 211 B.C., 7 trillion dollar bills lined up end to end would wrap around the globe more than 27,241 times, 7 trillion dollar bills weigh more than 7,709,251 tons!

Does this “bail-out” make sense to anyone else but those writing the checks and those with their hands out? I don’t see how giving money to companies, who’s poor management and leaderships team have put them in their current position, is going to solve anything. All I see is us, the taxpayers, investing good money in a bad deal. If management changes aren’t made immediately in these companies, what is to prevent them from ending up back at the well asking for more? In one word, the answer to that question is “nothing!” We have already seen this with AIG. The problem with this approach is we will have so much money invested in these companies that if they do continue to lose money, we will not be able to let them die on the vine like they should but rather will be required to invest more in the hopes of preventing the loss of our initial investment of billions. The phrase for this is “throwing good money after bad.”

Read more

Filed Under Opinion | Leave a Comment

© Copyright 2017 Where’s My Fish • Powered by Wordpress