Originally Posted by
Quagmire23
I think we struck the same chord in our posts (although in yours it's easy to see the conservative side bleed through :p ). One issue I would take up with you is the issue with home loans. We are not in this deep of a recession because of loans given to low-income/poor people or minorities. We are in it because of bad loans given and SOLD as proper to the middle-class. There are rich and poor, but the stability of this country rests with the middle-class. This recession was the culmination of the middle-class over-spending, fueled by programs that told them it was ok to do so. Banks were the primary driver of that, and the so-called liberal idea of regulation might have helped dampen what happened. Anyway, that bubble has burst, and that is why this recession is so:
A: Hard to see how deep it goes
B: Hard to find solutions to
C: Hard to reason an end to
Middle-class America got into credit trouble, stopped spending and fueled their own demise because in doing so caused companies to react to that void by cutting jobs and spending themselves. Stabilizing companies will not end this but is needed to help the turn-around (Hence is why I think proper restructuring, not complete destruction of companies like GM and other NON-BANKS are necessary). Only middle-class spending again will bring the end to this mess, and that may be awhile. Let's hope when it happens it's because some debt has been reduced by the middle-class and not because they are able to over-borrow again, as that to me is not a solution.
