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Financial “Crisis”

So let’s put this in perspective.
 
  1. Government enacted legislation to make it easier for people who can’t afford houses to buy houses.
  2. People bought houses they couldn’t afford.
  3. The mortgage brokers sold these mortgages to banks.
  4. The banks put these mortgages into derivatives that they sold to investment banks.
  5. People stop paying their mortgages.
  6. Investment banks go under.
  7. Government says "don’t worry, we’ll rescue the investment banks.
  8. Banks become wary of loaning money.
  9. Government says "don’t worry, we’ll buy the crappy mortgages."
  10. Banks don’t loan money because they want free money from the government.
  11. Government says "don’t worry, we’ll lower the interest rates."
  12. Banks don’t loan money because they want free money from the government.
  13. Government says "don’t worry, we’ll take over the failing banks."
  14. Banks don’t loan money because they want free money from the government.
 
It’s obvious to me that every time the government gets involved, things get worse.  Between McCain and Obama one of them thinks government should help just enough to help the banks recover.  The other one thinks the government should take over everything.  Please make a good decision in November.
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