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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: RetiredNow who wrote (548524)	2/7/2010 10:38:52 AM
From: bentway	Respond to of 1574786

"Does anyone remember the S&L crisis? Our government handled that successfully." This wasn't the S&L crisis. This was the entire global financial system. Apples and Oranges. It's somewhat unfortunate that the effectiveness OF the response has so many believing the crisis was anywhere NEAR the scale of the S&L collapse, and that doing nothing WAS an option. Hindsight is 20-20. I'm sure that examination after the fact will reveal things that could have been done better. But the fact that so many believe that doing nothing was an option is a measure of the rightness of what WAS done.

To: RetiredNow who wrote (548524)	2/7/2010 11:18:07 AM
From: combjelly	Read Replies (2) \| Respond to of 1574786

"The solution should be either to let the market deal with it, which means bankruptcy, or if our government steps in, they oversee a liquidation process." Well, here is the problem. If we had allowed them to have gone into bankruptcy, the world economy would have collapsed. If the government had taken them over, the Republicans would have screamed bloody murder. They did anyway, but it would have been a much more difficult political situation. The only feasible solution was what they did. It also was a very bad one because if the banks aren't locked down, they will do it again.