Explore an idea with me?

Credit crunch and consumer confidence.

I simplify the matter for my own wee brain to carry. Therefore;

If it's true that personal spending is the engine of our economy (for better or worse)

and people aren't spending because we're afraid for our jobs, businesses closing.. or the cost of things going mad (witness gas prices in the last 6 months alone)

annnd the finance sector is still getting loads of our money anyway through the bailout and assorted other recent tax breaks, like I copied in my earlier post... and now the insurance guarantees to big banks from the FDIC... http://www.huffingtonpost.com/2008/11/21/fdic-tries-to-break-lendi_n_145603.html


which btw says, 'The FDIC will back new senior unsecured debt that banks issue to each other between Oct. 14 and June 30, 2009. It would be insured by the agency through June 30, 2012. Senior unsecured debt does not have collateral underlying it but must be repaid before other classes of debt.' (bold added by me)

and I take to read, more worthless shit of the sort that's already done such damage in the first place... more good money thrown after bad in my opinion..

and the banks STILL aren't lending anyway...

Wouldn't Re-Regulation go some good measure towards restoring consumer confidence?

It feels like finance and big money are only trying to take from us anyway. It's not even coming through small businesses, skipping them

I don't understand how anyone can expect all those worthless securities and loans that fueled the credit crunch to be restored to their crack-dream original value. There are going to be failures as everything settles to a more rationalized, actual value. The over-extended will feel the contraction.

But the banks are holding out, trying to avoid their reckoning, trying to realize as much value as they can, cannibalizing our tax coffers and starving our businesses. It's sort of a vicious circle.

How about our nation re-regulated the finacial sector? The shit will continue to fall for a couple of years, but wouldn't it be somehow comforting to know we've at least drawn a line under it? Say the lies stop HERE ->---------------<

naa. Big money rules. The rest of the world is but mere grit beneath it's bootheels.