I have no idea what the government is trying to do right now. They must not have ever taken an accounting class.
Most of us know that you cannot spend money that you do not have. If you do, it's on credit, but it's not really your money.
Most of us should also know that the US is in debt. The government currently owes $9.4 trillion (http://useconomy.about.com/od/fiscalpolicy/p/US_Debt.htm) to other countries.
The current financial problem was caused, in part, by bad mortgages. Banks saw that the real estate market was doing well in the late 80's and so they jumped on board and began giving loans to people without even checking their credit. The real estate hype died down, and we were left with people who couldn't afford their mortgages, and banks who couldn't afford for their customers to not make payments.
So, the real estate market in some areas crashed, banks who had given out bad loans began filing bankruptcy themselves, and now we have a downward slide. Sources say, however, that we are not currently in a recession because our GDP has not been at a decrease for two quarters.
Nevertheless, businesses, large businesses are in trouble. What is the government proposing?? A $700 billion bailout. My question is WHERE ARE THEY GETTING THE MONEY???
They are proposing to spend money that they do not have. They are spending the tax payers' money to make up for the businesses' stupidity.
None of this is credible. The money that they are proposing to spend isn't actual money. It can't be The United States budget is already overdrawn...it has to be with the amount that we are spending on the war.
The funny thing is, both presidential candidates are suggesting that we spend more money to solve the economic problems in the country. The problem is that no one has any money! It's all owed to someone else. The government owes other countries money. We owe businesses money. It's all on credit.
I think that we need an accountant as our next president. Maybe then the budget would actually be a budget and not a bunch of random numbers.
Tuesday, September 23, 2008
So where exactly are you getting this $700 billion??
Posted by Jennifer at 7:40 PM
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2 comments:
Jennifer, I agree with you 100%. This will be a nightmare if the government bails out poor business practices. Larry Burkett once said the government should be run by a housewife living on a budget. She'd straighten out the spending. (NO this is not a reference to Sarah Palin.) What happened to common sense?
i think you should change your "about me" section from "someday, i'll change the world" to "today, i'll change the world"
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