On Sep 30, 8:20*am, Norminn wrote:
I'll let others decide who doesn't know what they are talking
about. * *A refinance generally means that the original mortgage is
paid off by the new lender, who then holds the new mortgage. *In this
case, your proposal for the govt to refinance them, means the govt
would pay off the loan and become the new mortgage holder. * Paying
off the original lender most certainly lets them off the hook.
In a normal refi, the first lender gets cash. *In this deal, uncle has
none.......uncle is just another
investment bank. *
Exactly which deal are you referring too? Under the propsed bailout,
the US govt would buy the sub-prime problem loans from insitutions at
a deep discount. Under Puddin's proposal, which is the discussion
above, he proposed that the govt refinance the mortgages. In either
case, clearly "uncle", ie the govt has money available.
Money is leaving the stock markets. *US money is going
to T securities.
During the depression, China was starving. *They ain't no more. *Be sure
and pick up some
nice, cheap rations made in China next time you shop at Walmart; gonna
If there is another depression, I assure you China will not escape, as
the effects will be worldwide. The US is their major export market
and with people unemployeed, spending down, etc, their economy will be