Krugman: The Debt-Peonage Society

[RamboLiberal]

http://www.nytimes.com/2005/03/08/opinion/08krugman.html?hp=&pagewanted=print&position=

Today the Senate is expected to vote to limit debate on a bill that toughens the existing bankruptcy law, probably ensuring the bill's passage. A solid bloc of Republican senators, assisted by some Democrats, has already voted down a series of amendments that would either have closed loopholes for the rich or provided protection for some poor and middle-class families.

The bankruptcy bill was written by and for credit card companies, and the industry's political muscle is the reason it seems unstoppable. But the bill also fits into the broader context of what Jacob Hacker, a political scientist at Yale, calls "risk privatization": a steady erosion of the protection the government provides against personal misfortune, even as ordinary families face ever-growing economic insecurity.

The bill would make it much harder for families in distress to write off their debts and make a fresh start. Instead, many debtors would find themselves on an endless treadmill of payments.

The credit card companies say this is needed because people have been abusing the bankruptcy law, borrowing irresponsibly and walking away from debts. The facts say otherwise.

<snip>

And any senator who votes for the bill should be ashamed.

[Warpy]

1. This one is going to kill people

maybe that will wake the rest up.

[Payback Time]

2. Maybe this will backfire on the credit companies

causing people to stop charging and going into debt!

[Skittles]

3. nt

[depakid]

4. Unfortunately, I think you're overestimating American's

intelligence, and underestimating their desire for instant gratification.

The vast majority of Americans are both too ignorant to understand the implications of this bill (which is what the democratic Senators are banking on) and are too arrogant and fool hardy to be risk averse.

The prospect of "what would happen if" rarely occurs to them when things are going smoothly, and they care so little about what might happen to their neighbor (that's their responsibility) that they don't realize that but for the grace of God, they'd be in the same boat....

[drhilarius]

5. The part that gets me...

"Ted Kennedy introduced an exemption for cases of medical bankruptcy. Russ Feingold introduced an amendment protecting the homes of the elderly. Dick Durbin asked for protection for armed services members and veterans.All were rejected."

so effing over the poor, the elderly, and the troops is an example of "moral values"?

[ixion]

6. jesus owns a bank

I guess you hadn't heard. :evilgrin:

[The White Tree]

7. Maybe not a bank, but Jesus wants you to be rich.

I'm serious, I saw it on TV last night so I know it must be true.:eyes:

Some guy on one of the religeous networks (PAX, I think) was doing an infomercial talking about how God wants the redistribution, accumulation and shifting of wealth for the end times and that you should call his phone number (the guys, not Gods) to learn how to do this for only $39.95 (or maybe several payments of $39.95).

I didn't stick around to find out why God needed this. I can't help feeling sorry for anyone taken in.