Auto Bailot Just Failed!

spanko

Active Member
So help me if I am wrong here but my understanding is that the automakers need this money because they cannot borrow it from the banks. Isn't the 700 billion in bank bailout supposed to be so the banks can free up lending??
I am so confused...................
 

fish master

Member
iam no expert on this, but i was under the impression that printing money is not good for the economy. i thought it lowers the value of the dollar. could be wrong
 

cowfishrule

Active Member
Originally Posted by fish master
http:///forum/post/2873644
imo, i think the goverment should give the people money. then we will go out buying things like cars. then companies will be out of trouble. problem solve thank you thank you
it will work. not giving money, but lower taxes.
but dont expect it from obama/pelosi/reid.
 

bang guy

Moderator
Originally Posted by spanko
http:///forum/post/2873692
So help me if I am wrong here but my understanding is that the automakers need this money because they cannot borrow it from the banks. Isn't the 700 billion in bank bailout supposed to be so the banks can free up lending??
I am so confused...................

Right, but the banks are not going to loan money to a failing business.
 

stdreb27

Active Member
Originally Posted by fish master
http:///forum/post/2873702
iam no expert on this, but i was under the impression that printing money is not good for the economy. i thought it lowers the value of the dollar. could be wrong
Yeah can do some algebra with the math in some economic models and loosely seniorage= inflation. And if you look at seniorage and inflation it is pretty close.
Originally Posted by fish master
http:///forum/post/2873685
hey but we have to borrow the money. that just makes our debt go up higher. you cant borrow money to pay off a debt
Sure you can we've been doing that for years.
Not that it is a good thing.
Originally Posted by fish master

http:///forum/post/2873644
imo, i think the goverment should give the people money. then we will go out buying things like cars. then companies will be out of trouble. problem solve thank you thank you
You do realize the government's money is your money. Why not just let you keep your money in the first place.
Why should we give our money to the government, then the government spends money to collect the money, spends money to make a plan then spends money to send you own damn money.
Originally Posted by COWFISHRULE

http:///forum/post/2873709
it will work.
but dont expect it from obama/pelosi/reid.
On the contrary that is a very liberal idea, I really expect to see a "stimulous" package come down the pipe soon after obama takes office.
http://www.cnn.com/2008/POLITICS/10/...lus/index.html
 

sickboy

Active Member
Originally Posted by fish master
http:///forum/post/2873702
iam no expert on this, but i was under the impression that printing money is not good for the economy. i thought it lowers the value of the dollar. could be wrong
Yes this is correct, but how would you expect the gov't to give you a stimulus check out of money they don't have? Print money maybe??
 

sickboy

Active Member
Originally Posted by COWFISHRULE
http:///forum/post/2873733
well, in theory the money was ours to begin with. maybe if we didnt have to surrender it originally...
But why do we have to surrender it in the first place? Our parents and grandparents made that decision, so now our decision is do we pay it off (by lowering the size of gov't, not growing it) or do we cut our taxes and do the same thing to our kids and grandkids? Ideally, we could cut taxes and reduce the size of gov't because "supposedly" less taxes increases tax revenue, but there is no proof of this. Plus, the faster we pay off the principle, the less interest we pay, so IMO it would be in our best interest to pay it off and fast so that by the time I retire maybe SS will be solvent since I have been paying for our stupid debt my whole life.
 

stdreb27

Active Member
Originally Posted by KOgle
http:///forum/post/2873735
I'm still trying to figure out what you meant by this post. Article was good though and very true. We are actually doing those things right now as I type this.

Because the "problem" he is trying to address is BLATENTLY inaccurate. When a UAW union worker gets laid off he still gets paid. Ever heard of a job bank? (the most publicized example.)
It is advocating paying working who aren't working... Which is one of the biggest problems with GM in the first place.
Do you know how many hourly jobs GM has laid off from 2006 to July 2008? Take a guess. How about 34,000? And now, they’re talking about another 5,500 layoffs. And now they’re asking you and your government for a bailout to end their troubled, outdated, low quality, wasteful production system. But, let’s not focus on fixing GM’s problems with an infusion of cash. There’s something even deeper going on here that’s really wrong.

This whole concept is inaccurate.
Now training workers transferring them to places where their is a need for work and them retooling is fine. They are working then.
 

sickboy

Active Member
Originally Posted by stdreb27
http:///forum/post/2873766
No proof? Come on, just look at the numbers? It has worked every time it was tried!
Got proof? I would like to see it. If the Federal gov't had sales tax, etc., I could totally see it working. And yes, I understand the logic behind it. But I can look at tax revenue and see fluctuations, but where are the studies that ties it to taxes and not just general things such as a growing economy?
 

sickboy

Active Member
So now they are reporting that Bush wants to use the financial bailout money to bailout the Big 3.
 

stdreb27

Active Member
Originally Posted by sickboy
http:///forum/post/2873778
Got proof? I would like to see it. If the Federal gov't had sales tax, etc., I could totally see it working. And yes, I understand the logic behind it. But I can look at tax revenue and see fluctuations, but where are the studies that ties it to taxes and not just general things such as a growing economy?
That is like saying prove to me gas makes a car go forward without the engine running.

That whole argument stems off of Tax cuts fuel a growing economy that in turn increases tax revenues. Fuel goes in a car you start the engine the car goes forward.
 

kogle

Member
Originally Posted by stdreb27
http:///forum/post/2873763
Because the "problem" he is trying to address is BLATENTLY inaccurate. When a UAW union worker gets laid off he still gets paid. Ever heard of a job bank? (the most publicized example.)
It is advocating paying working who aren't working... Which is one of the biggest problems with GM in the first place.
Do you know how many hourly jobs GM has laid off from 2006 to July 2008? Take a guess. How about 34,000? And now, they’re talking about another 5,500 layoffs. And now they’re asking you and your government for a bailout to end their troubled, outdated, low quality, wasteful production system. But, let’s not focus on fixing GM’s problems with an infusion of cash. There’s something even deeper going on here that’s really wrong.

This whole concept is inaccurate.
Now training workers transferring them to places where their is a need for work and them retooling is fine. They are working then.
I think in addition to the union issues they have, the workers attitudes are the problem as well. It seems like when I've been in auto plants (not Toyota but GM and one other not asking taxpayers for money so I won't mention them) the workers act like they are owed something just because they work there. What ever happened to hard work??? The last time I was in an American auto plant there were 3 people standing around watching one guy do his job. Another guy was sitting in a chair on the line reading a book. Does anything about this make you feel sorry for the people loosing their jobs???
The only efficient running US auto plant I've seen is Toyota's and GM's joint venture in Cali. The culture is a little different though, lots of Japanese management.
 

stdreb27

Active Member
Originally Posted by KOgle
http:///forum/post/2873807
I think in addition to the union issues they have, the workers attitudes are the problem as well. It seems like when I've been in auto plants (not Toyota but GM and one other not asking taxpayers for money so I won't mention them) the workers act like they are owed something just because they work there. What ever happened to hard work??? The last time I was in an American auto plant there were 3 people standing around watching one guy do his job. Another guy was sitting in a chair on the line reading a book. Does anything about this make you feel sorry for the people loosing their jobs???
The only efficient running US auto plant I've seen is Toyota's and GM's joint venture in Cali. The culture is a little different though, lots of Japanese management.
When you know you'll never get fired. And your pay rate isn't related to performance. how hard will you really work?
 
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