cancel
Showing results for 
Search instead for 
Did you mean: 
kraft-t
Senior Advisor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

Fanny and freddie did not bring down the economy. It was the greedy bas+++ds in the financial centers that dis us in.

tomtoolbag
Veteran Advisor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

We have tax revenue. We have a lot of tax revenue. Tax revenue is not the problem, it's the other side of the balance sheet that needs to be looked at.

 

  Apparently we don't, take a remedial math course.

 

You are partially correct on the loans. The banks bundled them together and sold them, some were sold multiple times. I my opinion there was massive fraud committed and needs to be investigated. It was the backing of fannie and freddie that lead to many of the loans being made.

 

  You're getting better with your "facts" or assumptions. Fannie Mae and Freddie Mac don't actually make mortgage loans, they buy them from the banks after most if not all the fraud was committed. Read this for some basic understanding of what they actually do.

 

http://articles.latimes.com/2008/sep/08/business/fi-qanda8

 

What do Fannie Mae and Freddie Mac do?

Fannie Mae and Freddie Mac buy mortgages from savings and loans, banks and other lenders to generate more cash for those lenders to make more home loans. Together they hold or guarantee $5.4 trillion of mortgages, about half of the nation's home loans outstanding.

 

Why are they in trouble?

As home prices fell, so did the value of the mortgages the companies held, lowering their already small cushions of capital. As more of the loans they had backed went bad, they were no longer able to raise money from private sources.

 

Could this have been avoided?

The depressed housing market and high rate of foreclosures make it tough for anyone investing in home loans, but Fannie and Freddie took steps in 2006 and 2007 that came back to bite them. The companies lowered their standards for loans they would buy, and they backed riskier mortgages, including loans that didn't require borrowers to provide proof of their stated income. Such loans accounted for half the companies' credit losses in the second quarter this year.

hobbyfarm2145365
Senior Contributor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

3020. I often read posts like yours and hear comments by people like Pence  with the constanly  drum beat that taxes is hindering small business expandtion.    I know a great number of small busineses and when it comes to expanding their business they tell me taxes is not a issue to stop them but the opportunity grow is first on their agenda.   They all feel that opportunity to expand is most inportant and they will deal with taxes as it comes.      I wonder if  farmers are stopped from expanding cause so called uncertainty of taxes.  

GreaTOne_65
Senior Contributor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

I sure wish the kudos were still in, you and tom have done a commendable job explaining what Fannie and Freddie had to do with the mortgage melt down, and who was to blame. Unfortunately, it went right over his head.

r3020
Senior Contributor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

GTO, the current financial crisis was not brought about because of low taxes. Raising taxes will not solve it.

tomtoolbag
Veteran Advisor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

  LOL, he fails to grasp the simple concept that taxes are imposed upon income and/or profits. Businesses have to sell something or provide a service to have any tax liability. If consumers had more money to spend or weren't paying down a lot of debt right now, things would pick up more. It's a spending problem, not a tax problem.

  His ma and pa have done him a great disservice by taking care of all of the financial decisions in his life, and it shows.

tomtoolbag
Veteran Advisor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

  Peanut butter is made from gravel????? That sentence has about as much to do with the topic as the gibberish that you constantly reply with. Your incoherent babbling about socialism and whatever happens in Greece and how that somehow relates to the U.S. economy truly shows how out in left field you are, while trying to field a bunt.

 

  You fail to understand what income taxes has in relation to business growth and hiring. Your focus should be on the capital gains tax rates, not the personal income tax rates.  

schnurrbart
Veteran Advisor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

It may not have led to it but it certainly didn't help not having enough money in the treasury and having to borrow from other countries to pay for the wars.  A lot of things contributed to the economic failure and there is plenty of blame to go around.  Speaking of blame, it has now been almost two weeks and I haven't seen any kind of great turnaround nor plans coming from your fellows!  What's the hold up.  All the campaign slogans before the election indicated that all they had to do was win and the will of the people would be put in place.  Don't go spouting crap about the lame duck session.  That shouldn't be a problem.  Remember it shouldn't have been a problem for Obama when the repubs kept refusing to participate in governing the country so it shouldn't be a problem now.  I'm waiting for all this to be over and I want it NOW!

GreaTOne_65
Senior Contributor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

What did I tell you! He has no grasp of the situation! He is so single minded in the GOPher talking points it is pointless to talk to him or Oily. As I have stated before, I NEVER read Oily, nor do I ever respond to him, he is a feckless clod, with nothing worth listening to.

tomtoolbag
Veteran Advisor

Re: Republican mantra: Tax cuts will create jobs Reality: NOPE

  You're right, GTO. I never truly realized how ignorant or dumb-ed down most of the citizens of this country are until I read posts from 3020 and those people with a similar thought process. Their failure to even remotely understand the basic functions of the economy are compounded with the constant distractions of Limbaugh, Beck, and Palin with their own brand of manufactured hysteria................where "look, there goes a liberal" is a way to get their attention.

  The way they keep the easily distracted occupied with the Muslim BS, obsession with homosexuality and it's corresponding bigotry, and of course, denigrating anybody not like them is beyond belief, it's just so comical to watch it play out. We haven't seen the flag burning hype for awhile, and I see that coming up in the near future for it's confrontation and old standby of distraction from real issues. I wonder if the angry pitchfork crowd will be mad at Sarah Failin for desecrating a flag with her signature.