Dont listen to the news.  Everyday you hear of people getting laid off?  The unemployment rate is only 6.5% (it probably will go higher).  But we forget the stagflation of the late 70s (over 10%).  Or the "Worst economy since the depression" of the early 90s (it was about the same as today).

Obama has already decided to "give" some a bailout. (We use to call it welfare, but that word is not longer in vogue).  It is time the government stopped deflating our money.  That would be a good bailout!

The problem is not the economy.  We have had and will always have recessions.  The problem is the hysteria of the media and trying to lower expectations of Obama (which should never have been raised, but then they already did that).  People need to get a grip, or we will be looking back on today as the good old days as we struggle through another government induced and propigated depression.  And I dont think we really want the solution for the last one to be how we get out of the next one.

I say the average person, regardless of income (unless in the billions  ), should have half of their debt that you can find on, say Equifax, removed if it's been there for, say, 4 years or more. I mean, the way I see it, if the economy continues to drop, not only will those debts be less likely paid, but new ones will be added. At some point most of it may never get paid till several years from now if ever. So once our economy starts coming back (God knows when) are we gonna start our society with the average person having a 200 credit score (I don't know how credit scores excetly work so am using 200 as an exageration)? It's just a crazy suggestion but at this point, seeing as we can't even figure out what the banks did with the billions they have been given, I don't see why the average person can't be forgiven for debt as well. I think it's unfair the companies and banks are given so much money, allowed to take extravagant vacations and then not be held accountable for not knowing where the billions went while we the average people continue to get screwed with late fees, bad credit and job losses.

Believe me, I try not to sometimes, but it just comes at you from every direction!

That's an ideal way to do it!  Thre as to be stipuations though, very strong ones because with some people, they have less debt, they go right back.  They should be made to take financial classes and investment ones too.  And if they mess up, they pay it all back or lose their house or something that will really keep them on track!

That would only appease our anger and frustrations, for a bit, maybe!  We might end up killing each other!

It's a start. perhaps we can combine both of our ideas and maybe modify them a bit more?

We could always jump ahead of time, drop our nuclear bombs, kill 50% plus of humanity and see if that theory that a major disatser will bring everyone together works. At least that is how The Terminator, The Matrix, Star Trek and Wall-E portray it.

But that won't help Charles!  And at least two humans, man and woman, will have to be around to start over!   I also don't think God would like us taking His job away!

It was just an idea. We could always wait till an alien spicies decideds to conquer us and maybe we will fight back like Will Smith.

Good article Donna, but truth is all the "bailouts" are on the backs of the people like me and you, like that old song says, the rich get rich and poor get poorer, ain't we got fun?

The bailouts were a bad idea, so why would handing the money out to people be a good one? For centuries companies and banks have gone out of business, and we all survived. If the recent bank bailouts did not occur, what would have happened? The small investor (< $100K) would have have gotten their money back through FDIC insurance. The evil rich would have lost some money, and those evil investors too. Isn't that the Democratic parties wet dream? The government would have had to pay out much less in insurance.

If the US auto industry failed would that mean we would have no cars to buy? No plenty of other suppliers would have filled the void and maybe some new US manufactures too. A large percentage of US car buyers don't give a rats ass anyway as they all ready purchase foreign cars. What about the poor US auto workers? Foreign cars need parts too. With US auto manufactures gone, there would be a huge demand for workers at the US based foreign manufactures, they would be expanding to meet the newly created vacuum. Many auto workers would just migrate into new jobs at more reasonable (well maybe not in their eyes) pay rates.

Now if you could turn the clock back before the huge bailouts. a second "handout" to the people might have been nice. But what would giving money to people that are ill equipped (responsible), or in short reward some for bad behavior? The sensible thing would be to give it to people that are responsible, maybe a credit score of 650+ (that's an arbitrary number). But that would exclude people and would be labeled racist, insensitive, or immoral (funny how that applies to many common sense approaches). So in the end it's not worth it, either it goes to irresponsible people or irresponsible companies, either way it's still wasted.

The "hope and change" crowd is going to have tired arms, waiting with their hands outstretched. Any future "stimulus" will not be enough to help anyone that deserves it for long and too much for many that don't deserve a red cent. Donna, you're too kind on goodness of human nature. I think a large percentage of the first stimulus when to booze, drugs, cigarettes, lottery tickets, and down strippers g-strings. Sure it puts it back into the economy but at what additional price. If only giving people money would make them wise. even if this was only 1% (and I have a gut feeling it was higher) it's too much.

lol!

Thx Elie. I know the bailouts aren't the only solution but it is a start. Yes, that old addage always there! 

Perhaps the newly created jobs wouldn't have been a bad thing were this to have happened.  I do think that we would survive, however the auto companies are big whiny babies who don;t really care about what they do to the little man workers. 

Yes, it would be a start but so many would be left out as you say.  It is a no win situation.  The thing is, something needs to be done to help so many, what exactly?

And the porn industry still want a bailout?  Not enough spent!lol!

Something else to consider.  What these bailouts are doing is Taxing the people in 2 ways.

First, it is our taxes paying for it.

But Wait!  You say!  They are not raising taxes and even talking tax cut!  SO it is not costing us anything!  RIght?

Wrong.  Second, the trillions of dollars being "created" are devaluing your money.  So now your loaf of bread costs $3, instead of $1.5.  Why?  TOo many dollars chasing too few goods.  And for proof of that, you dont have to look far.

Why do you think we had a housing boom 5 years ago?  The number of houses did not increase a lot, but the price sure did.  Why?  Bidding wars.  When 2 people want the same loaf of bread, the one that offers the most money (outbids) will get it, regardless of the sticker price.

So Mr. Obama (and Bush) are not only bailing out the "Rich" as MM says, they are taxing you to do it.  But that is compassion, right?

How about if we find everyone who has more than $10k of credit card debt and take away their right to vote so that we don't have politicians who cater to people who can't handle money and thus eliminate a lot of the calls for more spending to bail these people out?

I think we all know that if taxes are not raised, or are eliminated, the money has to be gotten from somewhere else, somehow! 

It is our fallacy, our greed, or at least, some people's greed that causes situation like this!  Both on the buyers and the sellers part.

It is not fair and we all know that. But there is no fairness in politics.  It irks me as it does you and everyone else that our politicans still cannot get it right! 

Well, I would be all for that if it didn't take away the people's right to free will.  What would be better is being able to eliminate the politicians who contineously mess up and are still sitting on their chairs!   Just don't even give them the opportunity to put themselves up for a vote off, they have to leave period!  Perhaps then they might do what is right. 

I've been advocating that over coffee in truckstops for years now.

Bailouts are nothing more than the politicians helping out their major campaign contributers, which is pretty much all they ever do anyway. "We The People" don't matter at all to those people and will never see any real help from that pack of bastards.