“The United States is devolving into a social plutocracy. A small number of often-affluent Americans cushion themselves from the consequences of their failed risks by sponging off of this nation’s 130 million prudent but exhausted taxpayers.”
“Hot on the heels of its $307 billion farm-subsidy orgy, Congress barely caught its breath before plunging back into another multibillion-dollar spend-a-thon. The next targets of its affection are mortgage holders, soon to be seduced with other people’s money. Maddeningly enough, part of this courtship will be billed to America’s 83 million equity-starved renters who only fantasize about home ownership.
“The House has approved and the Senate will consider legislation to provide federal insurance for $300 billion in refinanced home loans. Taxpayers will have to shell out hard cash if borrowers default on this government-guaranteed debt. This program is expected to cover just 500,000 to 1 million homes. Thus, these taxpayer-insured mortgages would average $300,000 to $600,000. This is not low-income housing.” [TimesDaily.com]
Yep. He is right.
“Should we have an economy that’s based on whether people make good or bad bets? Or should we have an economy where people build companies, create manufacturing, do inventions, advance the American society and make it more productive? We are rewarding people for sitting at their computers and punching in bets. That’s not the way our economy is going to be built, and India and China, with their focus on science and industry and building real businesses, are going to eat our lunch, unless the American public wakes up and puts an end to an economy that praises and makes heroes out of speculators.” -Prof. Michael Greenberger