US Auto Industry?

Your probably referring to the "breaking of the dollar" in money market savings accounts....

Literally, if you put a dollar into a MM savings it was worth ~.97 cents. A 3% haircut on deposit. (They're supposed to be safe as cash......)

For fear of money piling out of Money Market accounts and further exacerbating the financial panic, the banks and Government stepped in to guarantee the margin until recovery.........

No "bailout".....

Losses to retirement plans are real and "marked to market" daily.

 

I agree- the bailout is a scam. Also, it is a loan that in the agreement would start to be re-paid in 2012. I think there's a HUGE chasm between minimum wage and a living wage; What's the basic living conditions for a married couple to raise two children, own a modest home, and send just one of those kids to college?

A living wage provides some basic foundations to persue the american Dream. Minimum wage pays rent and part of a grocery bill. I'd be all for a $15 minimum wage. {Flame suit on.} Sorry to get belligerent in that last post-not directed personally at you.

 

It seems that over the past few decades the original intent of a minimum wage has been subverted somewhat. Originally it's purpose was to guarantee those young people going into the workforce during non school times a decent wage without being screwed by business owners. The theory being that the kids would be getting a good education, while being able to make a few bucks during the summer, so that when they actually graduated from college they would be in a position to enter the real workforce at a decent pay scale.

Somewhere along the way, more and more uneducated people (not necessarily students) started taking up some of those jobs, and started complaining that they didn't make enough money. Certain groups of leaders then started using this whining to earn more votes by upping the minimum wage. What's the answer? We now have far too many undereducated citizens relying on those jobs. The American dream is not in sight for them because, without a good education, they will never be above minimum wage.
It's kind of like a vicious circle. No education, no good pay. No good pay, no education.

Stop this merry-go-round! I wanna get off!

 

Orvis I think the issue is many companies are paying workers minimum wage for jobs that should instead receive a Living Wage. The numbers are quite different. Seasonal jobs for teens should not be confused with Service jobs by semi-skilled workers.

 

Congressional leaders will work through the weekend with the Bush administration to try and reach a final accord to provide emergency financial relief to the Big Three car makers, aides said. A vote on a proposal could come as early as Tuesday.
The Wall Street Journal reported late on Saturday, however, that the talks had hit a snag: Congress and the White House were arguing the role of an "auto czar" who would oversee a restructuring of the industry.

Both sides want such an adviser, the Journal reported. But the administration wants to name the oversight chief immediately, giving President Bush a big say over the industry restructuring, while top Democrats want President-elect Obama to appoint the adviser.

The three companies are asking for a total of $38 billion in loans from the federal government to enable them to survive the current financial meltdown.


Up to $38 billion now......

 

Do you have any idea what you are talking about?

A central fed that help banks from going under.....that keeps peoples money FDIC insured......is one of the HUGE factors that is keeping what we have now from turning into 1929.

In the great depression banks closed and took people's money with it....taking all the buying power out of the economy.

 

The seasonal jobs, like lawn service jobs etc., were included in the minimum wage category. When the minimum wage went up I saw several mid size lawn service companies either scale back or go out of business completely. I was with Toro from about 1980 until I retired and lost many customers because they couldn't afford to pay the minimum wage, and avoid raising their prices so high some customers couldn't afford to pay it. Most of the lawn service customers that dropped out were older customers on fixed incomes. The main survivors, within the service companies, were companies with wealthy customers, and/or, large contracts. The little guys that did their own work didn't suffer because they didn't have employees.

One of my best friends owned a shipping company called Western Tex Pack Express. He learned early on (1970's) that he had to hire part time people to do most of the picking up and delivering because of the stiff competition. He simply couldn't afford to pay high wages and make a profit. His method was to pay the driver a base pay (less than minimum) and then pay a commission based on how many pickups and deliveries were made by the driver. When UPS finally lobbied their way into the Texas market they took up most of the small package business and all that was left for companies like Tex Pack was larger packages and skids. The minimum wage prompted him to sell out to a larger conglomerate out of the North East. They lasted about three years before going broke and closing most of their operations.

Watching all this develop has convinced me that our leaders don't have a clue as to unintended consequences when they decide to raise minimum wages.

The key to all this is EDUCATION. Teach the people how to fish and they can feed themselves for a lifetime. Pay them a minimum wage, just barely big enough to feed half their family, and they'll be hungry all their lives.

 

Sig, perhaps you are the one that needs to look into what you're talking about. There are far too many ranking Senators, and other Government leaders from many decades, that favor doing away with the Fed. Ron Paul is absolutely correct when he states that the Fed is actually unconstitutional. It's probable that the Fed has caused our present situation in the first place.
The only problem is that there isn't enough of our leaders that actually understand what the Fed does, and how it operates. They don't seem to understand, or care, that our monetary system is being manipulated by just a few people that can't possibility know how to make the calls in such a complicated situation. I'll admit that I'm not an expert on it, but I'll guarantee that Greenspan, Bernanke, and those controlling the Fed, don't know what the ramifications of their actions are going to result in.

The private individuals controlling the Fed have made enough profit. They need to go away now.

 

What the proponents of raising the minimum wage to a working wage don't take into account is that a business has to be profitable to survive, based on what the public is willing to pay for the service.
When the public says hey, too expensive for me, that business disappears, along with those jobs.
If you want the people at Dunkin Donuts to making a living wage comparable to a line worker at GM, be prepared to pay $15 for a cup of coffee.
I'm betting most current customers would drive on by.

 

Doesn't surprise me that a Texan gets it :up:

The Central bank "The FED" is not the government and was in play(supposedly passed into law in 1913 federal reserve act...http://en.wikipedia.org/wiki/Federal_Reserve) when they screwed the pooch causing the first Great Depression.......... They've done almost the exact same thing in causing the next one...

The "FED" does nothing that the Government itself could not do....... The monies backing the FDIC are tax payer dollars. Not the central banks
What you don't get is the Central bank is a privately owned entity..a for profit organization. It seems so unbelievable that it could not possibly be true.......IT IS!

The American educational system doesn't teach jack about this because

1. Most citizens are too stupid to understand how the fractional reserve system works.

2. Most citizens DON'T WANT TO KNOW!

Carlin gets it

http://www.youtube.com/watch?v=AMqJvhmD5Yg


The FED is a private banking enterprise that the Government goes to to regulate monetary policy and is it's bank when it borrows monies for fiscal purposes..........AT INTEREST!!!



That FDIC "insurance" is backed up by the taxpayer..... Banks pay a fee for this "insurance"..the fee goes into the "General fund".....that fund is what the Goverment uses for all it's projects subsidies and programs...medicare etc.......TAXPAYER MONEY

The system works in the event of localized failures but if the whole system fails........the taxpayers "dollars" disappear.worthless paper... regardless of whether it's "insured" or not. Your deposits dissapear......poof! Take a look at what happened to Iceland a month ago....

The banks on the other hand, hold the tangible assets.....They own it all.


As things get darker, more people are going to go searching for answers and this is exactly why Paulson was threatening congress with "there will be tanks in the streets" in the event of systemic financial collapse

Saw all this coming in 2007......... my buddies all laughed at me
They ain't laughing now.....

Educate yourselves

No conspiracy Bullshit......... How the Fractional reserve system works.

http://video.google.com/videoplay?docid=-9050474362583451279&ei=oYg8SZStO4ruqALCqKDyDw&q=debt+as+money&hl=en

Documentary on the crash of 1929 Produced by PBS The American Experience.......... eerily reminiscent of what is happening right now

http://video.google.com/videoplay?docid=7233622324068640582&ei=L4k8Scj2G5PuqAK06dEr&q=the+crash+of+1929&hl=en



If your not pissed .... you should be.

 

how else would you propose a bank work if not on fractional reserve?

It's the only way a bank can "make money."

It's all about the money multiplier and it putting money into the supply.

 

The FED was created the way it is for a purpose. It's a balance between a private company and a government regulation. It's a give and take. Private banks can elect member of the board of directors at the regional level but the board of governors that regulars private banks is elected by the president and the senate.

It's actually a good system because otherwise you could make an argument that if the gov completely controlled the money, they pretty much control all the banks. That doesn't' sound to democratic to me.

As for the people controlling the fed, they take an oath that they do not hold any stock in any banking company, trust company or work for any of them.

 

Keep in mind that the Auto makers played bank.........

Ford Motor Credit....Triad Financial Corp.......Fairlane Credit LLC

GMAC especially.........

They played in the Subprime mess......all of them did.....
Credit Default Swaps, Collateralized debt obligations....Derivatives...... ALL OF IT!
Easy money!

Until it isn't........

Hand in the cookie jar........no longer just automakers...... BANKS!

How many Canyonero's were purchased on the "Home equity" Credit card

Where are the numbers going to come from now?

Those who can get credit don't want it...they're paying down debt.
Essentially crushing the "velocity of money"

Those who want it .....DON"T QUALIFY

Credit has dried up and all the monies from the first bailout that were distributed to the anointed few..to be loaned out..... were sucked into the black hole of debt the banks hold. They ain't giving out JACK!

Paulson ,,,,,,,,.the anoint "er" was the former CEO of Goldman Sachs...... Who was among the 10 annointed banks who received direct monies from the Fed BAilout....

Holy cow! Goldman Sachs

An INVESTMENT BANK!!!!!!!!!!!!

They've since applied for and were granted traditional bank status........

So they could partake in the myriad of Government money hand outs

 

Goddamn dude!

I believe your referring to the Fed Chairman...he's "elected" From a list of candidates provided by THE FED ITSELF!!

You need to do a little reading

SUPPOSEDLY>>>>>>>>>>>WE ARE THE GOVERNMENT!!!! By the People For the People.......
And in the event that the Government does not implement the will of it's citizens I beleive there is something about that in this little essay

HAHA BULL SHIT!
They work for the FED
They don't OWN IT!!!!

DO some googleing......... tell me who owns it!

OK......

I'm done ranting


That's all I have to say about that.........

 

Who gives a shit! Senators are elected by the people and then elect a senate majority leader......it's still a person elected by the people.

Get off your fucking conspiracy soapbox. Maybe we should just use the rocket science approach of the gov just printing all the money they need for free.........:crackhead:

 

Actually I'm referring to the whole board. Maybe you should do a little reading....it's not just one person.

http://www.federalreserve.gov/aboutthefed/default.htm

 

Wow........ you really are a boob...

How's that Red White and Blue dick .............:up:


I'll play nicer


But y

 

Is that all you can come back with? You really don't understand how any of it works do you? You just have a conspiracy theory and think them man is out to fuck you over. Go back to your pillow and feel sorry for yourself.

Otherwise, I'm listening on how you would loan money out in a fashion other than the fractional reserve. tick tock.........

Keep in mind our economy is pretty much built around the money multiplier. Google that if you don't understand it.

 

AGAIN.................. for the dimmer among us


The Federal reserve does nothing that the Government can't do itself


WITHOUT THE INTEREST

The majority of our federal tax monies go to the servicing of the interest on debt

To the Central bank.........
No conspiracy........ No smoke and mirrors.........

We're broke

11 trillion broke........ and climbing :up:

 

The problem with that is then you are pretty much controlling all private banks from the government. If they don't lend the private banks money, then the private banks can't lend. It essentially turns all private banks into a big extension of the government. You have to see why this isn't a good idea.