Purron
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Nov 23, 2007
- Messages
- 5,596
There is a fair chance that the uncertainty described in the second paragraph will be the "something" mentioned in the first paragraph.So unless something causes a massive run on the bank by actual depositors, its hard to see how WM will have a liquidity crisis that will cause them to suddenly fail.
I don't think anyone can guess as to whether they have enough capital with any degree of confidence, at least at this point in time.
With Fannie, Freddie, Merrill, and AIG, the guv is spending hundreds of billions on these bailouts, just in the past week or so.
They can print an infinite amount of fiat money. The question then becomes what happens to the economy, inflation and the dollar as a result.I didn't think they were involved with Merrill. BoA scooped them up.
As a follow up question, though, exactly how much money does the Fed have left to bail companies out?
They can print an infinite amount of fiat money. The question then becomes what happens to the economy, inflation and the dollar as a result.
... the interest on the AIG loan is 8.5% ...
We can't let pesky inconveniences like the U.S. Constitution get in the way of the federal government's business, can we?where is Paulson's authority to do this?
where is Paulson's authority to do this?
I suspect that it's because the Fed is supposed to watch over the financial industry, not automakers. Not that I think that's sufficient justification, but I suppose that's what it behind the difference.Why, then, did the Chrysler bailout ($5+ billion in today's dollars of loan guarantees) require an act of Congress and Carter's signature?
wow.. wait 'til the masses of "individuals" in "exigent circumstances" get ahold of this news.
Why, then, did the Chrysler bailout ($5+ billion in today's dollars of loan guarantees) require an act of Congress and Carter's signature?
I'm a good capitalist, I think, but any business that wants to grow to the point of being "too big to fail" has got to accept a reasonable amount of regulation to greatly reduce the chance of meltdowns like these from occurring.AIG is so vast, they have got to be bailed out. They were, just last year, one of only 8 companies in the world that were rated AAA. Go figure.