The economy is in a state that my generation can only describe as Suck. How did it get that way? I’m glad you asked. Stupidity is the answer. The term of the day is “Sub-Prime-Lending”….. it’s a big smart sounding term for “lending money to those we know won’t pay us back.” Now in the money lusting world we live in, why on earth would anyone give a loan out to someone who could not pay them back? Because they wanted to make money off of the misfortune of others. Give a guy a loan to buy a hundred thousand dollar house… three years into his mortgage he defaults and you get his house… then you sell it for a hundred and fifty thousand dollars. Banks were lending money based on the assumption that the housing market would continue to increase. Dumb dumb dumb. Now thousands of people are defaulting on their mortgages because of the increasing rates and the falling value of their home ( they owe more than the house is worth) so then banks are getting the shaft (the shaft they very well deserve) because now not only are the houses worth less than they were when the loan was given, now there are all these re-poed houses on the market. Ha ha ha…. Oh and to make things better… the banks don’t really know who exactly owns the houses. That’s right… it’s lost somewhere in their paper work. This is how it goes… Joe Schmoe goes in to get a loan to buy a house, the bank (stupidly) loans him money. The bank then sells Joe’s loan to an investment company (stay with me here) who sells the loan bit by bit to investors. So now when Joe pays on the interest it goes to the two hundred different people who, for all intents and purposes, own Joe’s house. But it’s a double blind system… Those who own the house don’t know that they own it, and Joe doesn’t know that it’s owned by someone other than the bank. In fact… if Joe went to the the investment company he could unwittingly buy up a portion of his own house and pay himself a fraction of the interest system…… If you’re not confused yet I’m sure you see the problem here. The problem is stupidity. This is a stupid stupid stupid way to lend money, because when the housing market inevitably drops it hurts everyone. In a large enough scale it infact pushes our economy over the edge it built itself up on.
Speaking of being in debt… I’ve always heard that our National Debt is astronomical. But then I start to wonder… who the hell is lending us money? Shouldn’t the US of A fall into that “sub-prime” category? Imagine if you will if Joe Schmoe went into the bank and sat down with the manager.
JOE: Hello sir, nice to meet you. I’d like to borrow… oh… $750 million dollars.
MANAGER: Ok… and may I ask what this loan is for?
JOE: Oh nothing much… just to fund my military operations for a day.
MANAGER: Oh… I see. And what will your Military be doing with this money.
JOE: That’s my business, not yours.
MANAGER: Well… how do I know for sure that you won’t be attacking my bank?
JOE: You can be sure that we will be attacking your bank if you do not give me the loan….
Ok… so I think that I may have found the reason why people give us loans. But then again… if people are still willing to give us loans… wouldn’t they really have some sway in terms of what we do? Of course not… .we’re a free country… right?
So yeah… how bout those elections, huh? Edwards is dropping out? What the hell… it’s a sad day. Really though, he didn’t stand a chance. If I had been his campaign manager I’d have told him he only had one chance; turn gay. While Obama and Clinton have slashed and stabbed back and forth for the last month and a half, Edwards has remained mostly quiet, never saying anything negative about his opponents… why? If he had said one bad thing he’d have been painted as either racist or misogynist. If he were a Homosexual though, he’d be untouchable. Oh well… in the long run I think Edwards likely won the race he wanted to win…. I believe that he will be our next Vice President. ANYWAY… I still hate Hillary…who looks eerily like the dark lord of the Sith…. Sometimes I think she really is senator Palpatine. GOOD DAY
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment