So... Now what? "Liquidity" has been restored.

[SoCalDem]

Merchants can now borrow some more money to buy more stuff that many people may decide not to buy.. Who really won?

Car dealers have lots STUFFED with cars people cannot afford to buy.. Grocers have tables full of $3.99lb grapes that people are not buying, and meat counters full of $8.99lb meat that people are not buying.. Malls have lots of empty parking places, and lots of clerks conversing with each other, instead of customers ...

Every store I have been in recently has racks and racks of 50% off "stuff" that no one's buying.

People with piles of bills, and fear in their hearts over potential loss of jobs, will cut back.. they already are, and they will continue to do so.

Credit card companies are NOT going to get any "easier" on the common-man..if anything, they will get MORE severe.

The debt you already HAVE will be with you forever, because it is structured to be that way.. and as more and more of your "expendable" income goes to debt service, you have less and less to spend, and sooner or later, you will reach your limit, or the credit card companies will cut you off..still owing all that debt.

Remember..70% of our "economy" is "servicing" each other, and that only "works" as long as we all keep buying those services..

Poor people already must spend every dime they make, and many have never had much access to credit ... the super rich have more than enough to buy all that they need and want.. It's the mushy-middle that has been borrowing against their homes to keep paying off credit cards, only to "charge them back up"...but even with the new "liquidity", don't expect the equity-scam to start up again. Houses are no longer the cash-cow they once were, and banks will be a lot more careful about letting people turn houses into ATMs..especially when they are losing value now..

We have a "Wimpy Economy", fervently promising to pay on Tuesday for a hambuger we will eat on Monday..

There is not enough "grease' anywhere to keep the gears from grinding to a standstill..

Fancy-pants bankers & wall street casino hosts can say all the silky-smooth words, but facts are still facts..

If we FEEL poorer, we will ACT poorer, and once we have entered the debt spiral and we KNOW it, we will cut back. We have no savings (as a nation)..we have only that paycheck and that job...until we don't.

[Hydra]

1. I tried to tell people that more debt wouldn't fix that

But for some reason, people think that when they go into debt, that they have money.

No jobs, no money. No money, no consumption. No consumption, no economy.

[SoCalDem]

2. Dinner out last night..nearly empty restaurant

fish & chips
pulled pork sandwich
2 small salads
2 iced teas

$46.18..not including tip of $8.00

portions were huge, and there's enough left for dinner tonight, but shees louise..is it any wonder why restaurants are struggling.. we can afford it, but can you imagine taking 3 teenaged boys (like we used to have) out for dinner ? ..would have been over $100 just for a Thursday night dinner out at an ordinary restaurant..

[Hydra]

10. Yah

Let me guess:

Fish and chips: 15.95
Pulled Pork: 13.95
2 Salads:(3.95 x 2) 7.90
2 Iced teas:(2.50 x 2) 5.00
Tax(Assuming 7.25%) 3.10
-------
45.90

The server thanks you for your tip, btw. I've worked in foodservice.

[SoCalDem]

17. Our tax is 7.75%..

:(

Those prices are probably about right:)

Truthfully, I quit looking at prices a while back.. better to not know :)migth lose my appetite :)


after what we paid for ravioli & spaghetti at a plce in Tahiti. I never complain about restaurants:)

Don't ask why we chose to eat at an Italian restaurant in Tahiti..(seemed like the thing to do that night):rofl:

no side dishes..not even any garlic bread.. we ordered iced tea, and since I was thirsty, I had a refill..On the bill I noticed that they apparently don't believe in "free refills" there.. I paid $4.95 EACH for that mediocre iced tea:)..our bill that night was over $90 USD..

Most of our meals were included at the hotel, and after that adventure, we ate the rest of our meals at the hotel :)

[Neshanic]

3. But, but they passed the thingy and now car dealerships can sell!

And McDonalds can buy expresso machines, and Sonic can build more joints.

Right now Lake Mead is turning into cash and they are pumping it into Californeee. Arnold is hauling away cash.

Everything is OK. Consumption can resume, and we now return to your regularly scheduled delusion.

Sarcasm off:

Amazing what people think is it not?

[Hydra]

13. It's insane

It's simply INSANE how many people are willing to speak and vote against their own interests.

[Xenotime]

35. Credit is leverage that keeps the economy working.

Without it how are people to afford the things in life?

[SoCalDem]

36. The way we used to.. by saving for things we wanted and by repairing

things too expensive to toss out & replace:)

miniaturization, and "improvements" have made most appliances non-repair-able, but there was a time when people had radios, tvs, and even irons...repaired..not replaced..

we used to "re-sole" shoes..(my husband still has his favorite boots re-soled....we're on #5 now:)...)

[bobbolink]

4. You forgot one (1) "now what".....

Now what about us folk who are already homeless... already on the edge of survival.

What happens to us?

Does it matter?

Given that the Dems have agreed to let our survival issues be taken care of more by "charity" than by JUSTICE, and given that fewer of you will donate to "charity", what will become of us?

Does it matter?

Or is it only about the middle-class, as usual?

How long must we be invisible in all this?????????????????

[SoCalDem]

5. "you people" are "in their thoughts" no doubt

but lip service is all you ever get anyway, so you are no worse off ..now are you?? :sarcasm:

[bobbolink]

9. How ....very...... compassionate.

Thanks for answering my question... Does it matter?

The answer is clearly,

NO!

[Hydra]

16. Yup

All we've got is each other...and we won't even have that as we run out of food.

[SoCalDem]

19. At least we democrats share

:)

[bobbolink]

30. Actually, what I've experienced in my life, is more conservatives reaching out and offering to help

than "progressives".

I thank the progressives who have helped, and I appreciate them very much.

But it's time to end this "we're so much better than them" stuff, because on a personal level, I haven't seen it.

And your tough reply to me hurt.

[SoCalDem]

31. My "reply" was in quotes because it was a response that the Bushies & congress would say..

They always want to "pray" for people and wish them luck, but when the rubber meets the road,the only help their own kind..the moneyed class.. I am so sorry I was not clearer.. I have great sympathy for people who have struggled..


My own life has been a 59 year struggle..

I do think that if you look at legislation through the yearsm, you will find very little of much help to poor people, that originated with republicans..

and yes, I do agree that some conservatives do charitable good-deeds, but in My experience with them, there are often strings attached..

[bobbolink]

34. I've seen strings attached with MOST people!

And that includes "progressives"! It's our Calvinistic background, and Dems are just as caught up in that as anyone else.

No, I didn't find the "humor" funny, when I was talking about my death from this mess.

It's time that Dems find a way to show compassion.

[Subdivisions]

6. You gotta give it a few days for the bailout to work. Then it'll be like

we've gone back to 1999 when life was good and the milk and honey were flowing and nearly everyone was happy and prosperous.

[Hydra]

15. Heh

How many months/years do you think they'll use that line on us?

"It will be better soon, it will just take a bit more money and a bit more time..."

[frylock]

29. lather, rinse, repeat

[dkofos]

7. We all wait for the inevitble CRASH.

[Karenina]

8. That "liquidity" will EVAPORATE by next week.

WHAT'S THAT HUGE SUCKING SOUND I HEAR??? :freak:

[SoCalDem]

11. Junkies always need MORE..

Give 'em one fix..and they just wait for their next fix..

this whole bail out was just a final (hopefully) F-YOU from Georgie, as he leaves the stage..once he IS gone, and the next crew in, looks at the mess he made and DIDN'T tell us about, the shit will really hit the fan

[Hannah Bell]

12. The fat cats who just got a main line to the public purse - that's who won.

They always win. That's what democracy & free markets means.

[TexasObserver]

14. On mainstreet, there will not be a single positive sign of this deal.

When the public realizes they were duped, they'll be pissed.

[Tierra_y_Libertad]

18. The "liquidity" of trickle-down-your-leg economics has been restored.

And, the American people are socks being trickled on.

[SoCalDem]

20. yellow socks are always in vogue in America

[Tierra_y_Libertad]

22. So are yellow politicians who vote for the trickle.

[chill_wind]

25. Yes, always.

[Kurovski]

21. Now they can blame the next crash on Obama when he's in office.

After all, the 18 percenters in Congress and McCain have just "SAVED" us.

Edit: rec'd.

[Blue_Tires]

23. QFT

The debt you already HAVE will be with you forever, because it is structured to be that way.. and as more and more of your "expendable" income goes to debt service, you have less and less to spend, and sooner or later, you will reach your limit, or the credit card companies will cut you off..still owing all that debt.

Remember..70% of our "economy" is "servicing" each other, and that only "works" as long as we all keep buying those services..

[SoCalDem]

24. "QFT"?

:shrug:

[tkmorris]

26. It means "quoted for truth"

New internet slang. Well, not really new, but there ya go.

[Blue_Tires]

27. "quoted for truth"

[Greyhound]

28. What we are now laughingly calling an economy is nothing but the

result of taking highly over valued assets and leveraging that to create more money to the 40th power.

The problem (ignoring the fundamental insanity of the system) is when that one overvalued asset fails, all the rest of the "wealth" based on it fails as well. That is, very basically, what we just saw.

The fun is just beginning.

[AntiFascist]

32. Now we have what's called a liquidity trap...

it may not matter how much liquidity is available, people are losing jobs and the income in general is not high enough to buy expensive stuff, particularly real estate.

[ddeclue]

33. Astute observations!

The economy is and HAS ALWAYS BEEN and WILL ALWAYS BE:

DEMAND SIDE DRIVEN.

Investors don't hire people and build a product in the hopes that "if we build it they will come"

This bailout will NOT drive demand because people are afraid to spend.

What is needed are jobs (by the gov't if necessary), infrastructure reinvestment, and helping ordinary Americans get out from under THEIR mountains of debt by major structural changes to our economy, borrowing, minimum wage, wage imbalances, and unfair tax laws that favor the wealthiest among us.