Enough of the Bullshit! You want to know what really caused the financial meltdown?

[last1standing]

Watch this movie:
http://www.maxedoutmovie.com/


I've recommended it to everyone I know because it shows first hand, in painful detail how the banks set up those who were most vulnerable to fail. The incredible greed and the decimation that was caused by it are hard to watch but necessary for anyone wanting to honestly discuss the cause of the meltdown.

It's time to take control of this country back and force these greedy, souless, bastards to give out money back!

[CrispyQ]

1. Thanks for the suggestion.

I just added it to my Blockbuster queue.

Here's another reason:

The Trillion Dollar Wrong Thing
by Larry Beinhart

http://www.commondreams.org/view/2008/09/27-0

snip...

The real problem is that we have moved from a production economy to a consumption economy. Even worse, a consumption economy that supports the production economy in other countries. When we start to consume more than we produce - which we have - we must borrow. That means we're selling off or mortgaging our assets. If we were to do that to create more production which would ultimately pay for the investment, that would be alright. But we're not, we're just consuming more.

You can't borrow your way out of too much debt. At least not without a plan to create more income.

You can't consume your way out of an over-consumption problem.

If we don't address the fundamentals now, we will have to do so later. At that time, they we will be worse. Both by themselves and with the addition of the new $700 billion debt.

The ultimate problem is remaking ourselves into a production economy.

[last1standing]

7. Thanks. I'll take a look at your suggestion.

Sounds like your movie focuses on the macro and mine the micro. Both need severe realignment.

[dkf]

2. Irresponsibility and ignorance on all sides.

[last1standing]

6. When standard practice is to prey on the young and illiterate the responsibility lies on one side.

These financial institutions have worked hard to push those who have very limited experience or little understanding of finance into loans and credit cards they obviously couldn't repay. How does a college kid with a part time job at Wendy's pay a $20,000 credit card bill? How does an illiterate woman in the rural south understand the document she's signing will cause her to lose her home?

It's very easy to blame those who were "irresponsible and ignorant" for getting themselves into trouble, but what does that do for the rest of us who now have to pay for their stupidity? Why were there no laws to stop the banks from taking advantage of the ignorant? Why was there no oversight to raise a red flag for consumers? Why does the responsibility lie at the feet of those least able to form intelligent decisions over those instead of those who knew exactly what they were doing?

I've always believed that a high tide raises all boats and this fiasco proves it. We are ALL on the hook now for the greed and corruption of a few souless individuals.

Yes, we need to create a bail out package in order to keep all of our boats from crashing on the rocks but we also need to hold those who caused this accountable for their actions. Now is the time to FINALLY put the blame where it has rested for years - on the 0.1% bush* calls his base.

(Sorry for going off in my response to you, this was mostly just a random rant).

[dkf]

8. To many a college kid $20k is half a year's college expenses.

Some will graduate with 100k in student loans.

Tell them 20k is devastating, then maybe they won't do the college thing either.

[last1standing]

9. That's another good example of a corrupt system that places our youth in jeopardy.

Today, there is no chance at all of obtaining a decent, middle-class job unless you have at least a bachelor's behind you. Every kid knows this and is pretty much forced to take out loans to go to college. Of course many of those loans start accruing interest from day one, even if the payments don't begin till years later. Top that with credit card debt to pay for food, gas, books... and you're in far over your head before you ever have a chance to choose otherwise.

As a society we've allowed ourselves to be imprisoned by debt.

[dkf]

10. I agree.

But I see people around me who do some crazy and unnecessary spending on credit card debt. And they aren't young, or uneducated either.

Frankly, I don't think it has to do with being educated or uneducated, just a simple lack of control.

I think it would be a good thing if people had to start using cash again. Only debit cards.

[last1standing]

11. But do you usually see uneducated people in the course of your day?

I find that our perspectives are often colored by those people we come into contact with most. If you don't usually see poor or uneducated people and observe their spending habits or see how corporations market to them, you might not understand the situations they face.

I'm not trying to suggest you don't have a valid point but from my vantage point, and from the statistics I've seen, the poor and uneducated are being raped by financial institutions.

Case in point: How many check cashing places do you see in upper class neighborhoods?

[Greyhound]

3. They'll never give it back, but we can hit the reset button. n/t

[proud2BlibKansan]

4. Thanks

[ColbertWatcher]

5. I blame Milton Friedman, the GOP and GOP-lites: Libertarians n/t