Does Anyone feel like Bailing

[TheMercenary]

Originally Posted by xoxoxoBruce

No.

Forgot my /sarc/ tags.

[classicman]

Don't we have a few more options now than we had then to prevent that?

[Pico and ME]

That thinking would change the % of families without income, but not the % of total workers without income. Still it is an interesting dynamic when comparing the two generations. And you would think that it means that fewer households are actually in peril. However, I wonder how many households have two incomes just to survive...to get the bills paid. Losing one of those incomes would hurt many families, putting them on or below the poverty line. For instance, I only have a part-time job. Losing my husbands income would cause a lot of distress.

[lookout123]

Certainly families are at peril, but consider the difference. In 1929 if Bob lost his job and Judy was already a stay at home mom there was ZERO income to buy food and pay the mortgage/rent. In 2008 if Bob loses his job and Judy still has hers life gets shitty but they can probably still eat and pay the rent.

[classicman]

Originally Posted by Pico and ME

However, I wonder how many households have two incomes just to survive...to get the bills paid.

For all the stuff they couldn't really afford in the first place?

Originally Posted by lookout123

Certainly families are at peril, but consider the difference. In 1929 if Bob lost his job and Judy was already a stay at home mom there was ZERO income to buy food and pay the mortgage/rent. In 2008 if Bob loses his job and Judy still has hers life gets shitty but they can probably still eat and pay the rent.

Not if the had an ARM that just went up. Some of them can't afford the increase with both of them working.

[lookout123]

They may not be able afford the mortgage but they can afford the rent on something else. owning a home is not a right. life sucks, but that's the way it goes.

[TheMercenary]

Originally Posted by lookout123

They may not be able afford the mortgage but they can afford the rent on something else. owning a home is not a right. life sucks, but that's the way it goes.

Agreed.

[Pico and ME]

Originally Posted by classicman

For all the stuff they couldn't really afford in the first place?

BIG assumption there Classic. Do you know any families where both parents are working a minimum wage job? I do, and they dont have a lot.

[classicman]

Originally Posted by Pico and ME

BIG assumption there Classic. Do you know any families where both parents are working a minimum wage job? I do, and they dont have a lot.

Then they probably couldn't afford a home either. The situation as you described it is exactly what I've been referring to. How exactly can a household with two people making minimum wage think they can buy a house and maintain the payments? Especially if they got into one with an ARM.

[ZenGum]

Do we (well, you) have 25% unemployment?

There are two "correct" answers:

(1) No.

(2) Not yet. Which was what I think TW's source was getting at.

I doubt it will go that high. One of the effects of the depression was to make governments realise that they could, and sometimes should, interfere to keep the economy going. Keynes and all that.

[classicman]

I agree completely.

[TheMercenary]

Interesting commentary:

Bailout costs more than Marshall Plan, Louisiana Purchase, moonshot, S&L bailout, Korean War, New Deal, Iraq war, Vietnam war, and NASA's lifetime budget -- *combined*!

http://www.boingboing.net/2008/11/25...ts-more-t.html

[TheMercenary]

They can't and they shouldn't have. It is all about living within your means. I sure the left-wing nuts will try to come up with some reason why it is someone elses's fault and now the government should save them.

[tw]

Originally Posted by TheMercenary

They can't and they shouldn't have. It is all about living within your means.

They can't and they shouldn't have. So the system once upon a time vetted all such loan applications. Bankers and loan officers where never suppose to offer loans to people who could not afford them. Deregulation. NINJA. Now anybody can get a loan because the finance industry decided that responsible mortgage offerings were no longer their responsibility. And when all those mortgages go bust, those same finance industry bankers and loan companies then go running to the government crying, "But it was not our responsibility."

Deregulation. Nobody need be responsible anymore. NINJA - what once could never happen in any bank or loan institution. How curious. Same deregulation also resulted in the Saving and Loan crisis and the "we will never make that mistake again" $220billion bailout. We blamed the irresponsible bankers for making that mess. Why not today? Everyone knows those bankers and mortgage companies are always the good guys. Rush Limbaugh now tells us how to think.

If a home owner takes out a mortgage that he cannot afford, he only has himself and a system that is suppose to protect him to blame. But then bankers put thousands of NINJA mortgages out there that completely undermine the system, do we still blame the homeowner? Of course not. Just like during the S&L crisis, we blame the people who created this mess - no matter what Rush Limbaugh says.

[TheMercenary]

Originally Posted by tw

They can't and they shouldn't have. So the system once upon a time vetted all such loan applications. Bankers and loan officers where never suppose to offer loans to people who could not afford them. Deregulation. NINJA. Now anybody can get a loan because the finance industry decided that responsible mortgage offerings were no longer their responsibility. And when all those mortgages go bust, those same finance industry bankers and loan companies then go running to the government crying, "But it was not our responsibility."

Deregulation. Nobody need be responsible anymore. NINJA - what once could never happen in any bank or loan institution. How curious. Same deregulation also resulted in the Saving and Loan crisis and the "we will never make that mistake again" $220billion bailout. We blamed the irresponsible bankers for making that mess. Why not today? Everyone knows those bankers and mortgage companies are always the good guys. Rush Limbaugh now tells us how to think.

If a home owner takes out a mortgage that he cannot afford, he only has himself and a system that is suppose to protect him to blame. But then bankers put thousands of NINJA mortgages out there that completely undermine the system, do we still blame the homeowner? Of course not. Just like during the S&L crisis, we blame the people who created this mess - no matter what Rush Limbaugh says.

What does Rush Limbaugh have to do with it? Everyone gets a piece of the shit pie, estp the wantabe homeowners who now have ruined their credit for many years to come, getting in to an ARM hoping the markets never changed for the worse. No plan when it did.