Whatever happened to the free market? What happened to unfettered capitalism? What happened to the trickle down effect? What happened to big business being deregulated to create employment for the masses?
Let me see, a quick list.
Fannie Mae and Freddie Mac banks, the largest home load lenders in the US, now government owned.
One of the largest motor car manufacturers in the world, General Motors, now government owned.
Chrysler, now partly government owned.
The largest insurance company in the US, American International Group, now government owned.
These are off the top of my head. I bit of research would reveal many more I am sure.
While I know my readers are intelligent and informed, I just want to make sure that you are aware of a rather curious thing. No promises about the accuracy. Check the details yourself.
In Australia, when you take on a mortgage to buy a house, it is a debt you become responsible for, no matter what. If you can't repay your mortgage, the bank may sell your house from under you and if the selling price does not repay the debt, then you will be responsible for the remainder. This catches many people, especially in times when property prices are falling or people have borrowed near one hundred per cent of the value of the house, but it does give people a strong incentive to fight on and try to repay the debt.
The US allows mortgage defaulters to walk away from their house with no penalty apart from losing what they have paid and any improvements. Ok, perhaps they end up with a bad credit rating, but many of them had no money to repay the loans and were only lent the money by avaricious banks and their agents anyway. With any objective observations, they should not have been lent the money in the first place. So that is it, hand the key to the bank and that is the end of trouble people found themselves in. Very odd practice for a country that espouses personal responsibility.
And mate, you there in Detroit who has been just sacked from GM and may lose your house, I do really feel for you. You were a victim of things none of us really understand. But what is clear, is that it all happened under Bush and his government. You are fortunate to have someone like Obama to pick up the pieces. You would have never voted for Bush anyway...would you?