Calgarypuck Forums - The Unofficial Calgary Flames Fan Community - View Single Post - Deal reached in US financial crisis [Update- NOT Passed]

metal_geek · 09-30-2008, 03:28 PM

This is just a TEST run. The gov bails out the corperate types now, so they can exit properly before it crashes again 3 years for now and get all tangled up again.

Seriously though, this has to correct now. How is giving someone a 700 billion "loan" ie credit gonna change anything. They are gonna hand out all the credit again, and once there isn't enough money to pay back the principal + the interest it generates there's gonna be no money left again.

Look at it like this. You set up a solar panels on your house to generate electricity, you figure out you can make 1 dollar a month more then it costs you to do this... Good deal, so you buy 1000 more, now you are making 1000.00 a month more then it costs you. Now you decide this is the best thing ever, so you max every credit card you have, mortgage everything, and borrow from every source possible. You are now making 1,000,000.00 a month and think this great. It's so good, all your friends see you doing this and join in. All of a sudden, there is a GLUT of electricity, and the price drops crazy. Now you are loosing 1 million a month, and your stuff you got loans on is worthless. Problem is everyone you knew has done the same thing so now the banks have loaned out all thier money in solar panels that are worthless, you can't sell a solar panel to save your life, and all the stuff you used as colateral for your loans can't be seized and sold cause nobody has any money to buy it. The system Locks up, cause there is no money to loan someone to buy the junk you used as colateral.

So now, I'm hooped and so is everyone else, only option I have left is goto my friends in the GOV and say, You need to loan me some money or I'm gonna go out of business and everyone will suffer hardship when there is no electricity, and because all the banks money is tied up in loans to me, they will not be able to pay back the loans they took out to loan me. Woops.... You can have all the solarpanels we own for 700 billion and that will free up enough money we can pay the bank back at least SOME of the money we owe and get the system started up again! Sucks that you have to get stuck with all these solar panels, but eventually they will be worth something again, and you might even be able to sell them at a profit!!

09-30-2008, 03:28 PM	#187
metal_geek Scoring Winger Join Date: Jan 2007 Exp:	This is just a TEST run. The gov bails out the corperate types now, so they can exit properly before it crashes again 3 years for now and get all tangled up again. Seriously though, this has to correct now. How is giving someone a 700 billion "loan" ie credit gonna change anything. They are gonna hand out all the credit again, and once there isn't enough money to pay back the principal + the interest it generates there's gonna be no money left again. Look at it like this. You set up a solar panels on your house to generate electricity, you figure out you can make 1 dollar a month more then it costs you to do this... Good deal, so you buy 1000 more, now you are making 1000.00 a month more then it costs you. Now you decide this is the best thing ever, so you max every credit card you have, mortgage everything, and borrow from every source possible. You are now making 1,000,000.00 a month and think this great. It's so good, all your friends see you doing this and join in. All of a sudden, there is a GLUT of electricity, and the price drops crazy. Now you are loosing 1 million a month, and your stuff you got loans on is worthless. Problem is everyone you knew has done the same thing so now the banks have loaned out all thier money in solar panels that are worthless, you can't sell a solar panel to save your life, and all the stuff you used as colateral for your loans can't be seized and sold cause nobody has any money to buy it. The system Locks up, cause there is no money to loan someone to buy the junk you used as colateral. So now, I'm hooped and so is everyone else, only option I have left is goto my friends in the GOV and say, You need to loan me some money or I'm gonna go out of business and everyone will suffer hardship when there is no electricity, and because all the banks money is tied up in loans to me, they will not be able to pay back the loans they took out to loan me. Woops.... You can have all the solarpanels we own for 700 billion and that will free up enough money we can pay the bank back at least SOME of the money we owe and get the system started up again! Sucks that you have to get stuck with all these solar panels, but eventually they will be worth something again, and you might even be able to sell them at a profit!!