Bank's bailout vs Automaker's bailout. Big difference. Any thoughts?

[Андрей Шэин]

Banks were given 100s of billions of $$$ without questions asked. Automaker's CEOs were "grilled" in the Senat and still didn't get any $$$. Why not "grill" Bank's CEOs? ... Why not make them accountable? ... Why not appoint "Bank's Czar" to look after them? ...
Why different aproach to these 2 branches of economy? ...
Will anyone ever go to jail for issuing "bad mortgages"? ...
Any thoughts? ...

[Борис Дкан]

The financial collapse that would have occurred without the bailout would have devastated the US economy, every branch of which is based on credit. Another thing: the potential impact of the financial collapse in the US would be worldwide (as we're seeing already in the financial crisis spreading around the world). The bankruptcy of the Big 3, painful as it would be for the US, would have a relatively mild impact around the world (except North America).

[Олег Сах]

One more thought: banking collapse was as much governement's fault, as it was the banks'. The senate failed to pass the bill in 2005 governing Freddie's & Fannie's bad practices, this industry is fully ineterconected so they had to rescue all, while rescuing two. As Boris noticed the whole financial intrastructure is credit based, so without working credit industry we would be left for dead. Literaly.
Big 3, on the other hand are just badly managed, union - cancer stricken, unneeded businesses, which decided to blackmail the governemnt for some hush money.

[Натан Мэвэ]

Oleg, you're absolutely correct. Every time the government tries to over-regulate industry - we end up with a disaster. For those who's in doubt I have three words - "Community Reinvestment Act". This legislature is what they call "patient zero" - where everything started.... (N) (N) (N) (N)

[Олег Сах]

Exactly. Why would they grill bank CEOs, if they sued Citibank for not offering that zero-down bullshit to people who can't afford houses?

[Натан Мэвэ]

That's politics for you. Guys like Barney Frank and Chris Dodd should be sitting on the other side of the hearing, not in the commettee chairs. Better yet, they should be in the orange jump suits. (Y)
The whole thing stinks to high heaven. But then again "People get the governemnt they deserve" -- Ben Franklin.

[Олег Сах]

Heard a good joke on the radio. O'Riley was talking to Dennis Miller and suggested that Barnie Frank may need to be arrested. Miller responded: "He may actually like that!"

[Натан Мэвэ]

LOL.
But still, the country is full of drones. That's why it is falling apart... (N) (N) (N)

[svitlana gind]

да вот и почему бэнькерс насрали так теперь -не для кого нэма ...да и сколько можно их бел-ауд???y них *по чти каждый год проблемы .... (sc)

[Олег Сах]

Bailing out banks is equal to supporting the constitution, army or highway system, their stability is vital for our structure. Bailing out the producers of non-market worthy, overpriced product, who failed to produce a needed product is absurd.