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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: MulhollandDrive who wrote (149625)	9/23/2008 5:59:11 PM
From: Jim McMannis	Respond to of 306849

My guess is that Congress will not approve punitive action unless they are excluded... ----------- Experts See a Need for Punitive Action in Bailout finance.yahoo.com As economists puzzle over the proposed details of what may be the biggest financial bailout in American history, the initial skepticism that greeted its unveiling has only deepened. Some are horrified at the prospect of putting $700 billion in public money on the line. Others are outraged that Wall Street, home of the eight-figure salary, may get rescued from the consequences of its real estate bender, even as working families give up their houses to foreclosure. More from NYT.com: • The Wall Street Bailout Plan, Explained • Retirees Filling the Front Line in Market Fears • Your Money: Minimizing Your Own Exposure to Risks Most economists accept that the nation's financial crisis — the worst since the Great Depression — has reached such perilous proportions that an expensive intervention is required. But considerable disagreement centers on how to go about it. The Treasury's proposal for a bailout, now being negotiated with Congress, is being challenged as fundamentally deficient. "At first it was, 'thank goodness the cavalry is coming,' but what exactly is the cavalry going to do?" asked Douglas W. Elmendorf, a former Treasury and Federal Reserve Board economist, and now a fellow at the Brookings Institution in Washington. "What I worry about is that the Treasury has acted very quickly, without having the time to solicit enough opinions."

To: MulhollandDrive who wrote (149625)	9/23/2008 6:02:45 PM
From: Jim McMannis	Read Replies (1) \| Respond to of 306849

At least now we know. I wonder if Buffett advised O'bama to get some shares of GS?

To: MulhollandDrive who wrote (149625)	9/23/2008 7:43:32 PM
From: XoFruitCake	Read Replies (1) \| Respond to of 306849

"he's also on record in favor of the ws bailout.... the fix is in, folks" don't bet on it.. You have to look under the hood.. The term is 10% but there is 5B worth of stock warrant that he will receive as part of the injection. GS earning will be diluted by roughly 12% from here on out to account for the warrants. The 5 years warrant is worth quite a bit of money and most likely WB can double his money in 2-3 years. And his money is only making Treasury before this deal. this king of return in the loan shark territory. It is not quite as good as Paulson stripping of AIG but GS is not as desperate either. It is good to see GS get taken apart by another loan shark...