The Bailout, yes or no?

So here we are, the United States of America, the economic pillar of the world...well maybe more like the economic porch to the world...ok fine! we are the freak'n welcome mat that screams to the dog to scoot his tiny little poopie butt across our already worn out fabric of a mat. I get it! Our economy really is in turmoil. People are freak'n out while eating their "fettuccine alfredo" from the Olive Garden. As they are driving their hummers, they are really starting to think, "man, this is starting to look like the 'Great Depression'." Just the other day you could see fear in the water skiers eyes as he was water skiing across the glass like lake. I hear you, I've been there done that. I've been freak'n out too watching all the news on my big screen tv, all the while having picture and picture watching the 49ers on the NFL network which cost me $50 more on top of my cable bill just for the network, I know, its scary (how many commas did I have in that last sentence...? Good thing my college writing professor isn't reading this). The question though, should we really be that worried? Come on now, we haven't had a 'Great Depression' since like the 1930's and we all know that anything that hasn't happened for over 30 years has no chance of repeating itself right? Well the answer is yes, we should be that worried. However, is the bailout the only answer? I don't think it is and even if it is, is it worth the long term cost?

I've told you before that I am against bailouts period because I'm a capitalist. I think if you were so stupid to give people without identification, if you were so stupid to give people without verifying their income $10, you're too stupid to be a global bank. I think you should fail. If you actually thought it would be better to open up branches in other markets and the only way you could do that was to play the game that the government was trying to play with you by accusing you of being racist for not asking for identification, you're not worthy of being a global leader in finance because I think you need to have some credibility. However, with all of this being said, I told you for the last how long, that this was coming. And you know what? Most people saw pieces of it but they didn't see how bad it was going to get. Everybody, who didn't really? Do you have a single friend that didn't say, "Wait a minute, they're giving you a 125% mortgage? Man, how does that work? And you don't have to have any money down? You didn't have to have any identification? And wait a minute. You also don't pay on the principal for four years? You're kidding me, right?

The President said that this could be a bad recession." Bad recession? I'll take a bad recession. We've had bad recessions before. We don't need a program that is twice the size of the prescription drug program for a bad recession. Bullcrap! You are trying to avoid the Great Depression.

What happens to that small business owner who goes outside his mean and bad times hits him? Does he go Uncle Sam and asks for a bailout? Nope. This is not about how big or small a company is, it's about principles. If we don't go through with the bailout, are we going to see some nasty things happen? You betcha! Will we get through it? You betcha! If you have read my blogs you know how I feel about FDR. People are comparing this to back then and saying that this is what needs to happen to avoid a depression. Ok if so, at what cost? Since FDR started the New Deal, (let's not forget that 1/3 of the proposed programs where found to be unconstitutional) the type of labor out there and welfare has dramatically increased (if you want to see my beef with the New Deal, read my "New Deal Crippled America" blog). I digress.

Bottom line is that this bailout is flirting with Socialism and I don't like it at all. I also don't like the hasty nature of the banks pushing this on us saying that if we don't do this then we will have Armageddon tomorrow. The last time I was pushed into doing something, it turned out to be a raw deal. So the short answer to whether or not we should have a bailout is "no." The long answer is "Heeeeeeck no."