Taking issue with George Soros’ support of the bailout bill

October 3, 2008 by · Leave a Comment
Filed under: Opinion 

This is post is in response to the interview with George Soros on National Public Radio (NPR) this morning on support of the now passed bailout bill. In his interview he mentions the real problem and the solution hurts the people who actually do the right thing to move up the ladder in America. He even states that the bailout won’t fix the underlying problem which is the real estate market, employment and in my opinion middle class jobs in specific and the lack of savings in his assertion that the credit markets are in chaos. What this highlights is that we are dependent on credit in our country with an average negative savings rate and a trade imbalance that is not in favor of the U.S. which in short means we do not export enough compared to what we import and consume.

What people are proposing is to take bad assets off the banks and also refinance all of these subprime mortgages to set a floor in real estate prices. What are we actually doing with that plan? We are actually hurting people who have played by the rules and have not taken on debt we can’t afford and saved our money to purchase a home in hopes of paying it off so we can then live somewhat rent-free.

Instead we are going to keep prices artificially high and make it harder for hardworking Americans to get into the home of their dreams. Everyone keeps mentioning credit for cars, loans, small businesses, etc…. This just blares the problem that we are DEPENDENT on credit to get by because inflation has made it so our wages are not keeping up along with this media pushed idea that we should strive to consume more now to have a higher unsustainable standard of living instead of saving and then purchasing your wants when you can afford to own it outright.

This is the mentality that got us in this situation and it will be this continued clinging to this idea that will bring the end of the great American power. Everything is about consumption, even Warren Buffett said that in his latest Charlie Rose interview that we are selling pieces of America off for extra goods being sent to us. Is that what we have become, just a bunch of consumers? Is that all that matters when we call ourselves a “service based economy“? Who are we actually serving? How can it be sustainable to have 70% of your GDP based on personal consumption? It sounds like a new form of slavery where we trade our chains for a credit card or cheap loan on a house?

In closing, I hope people will look back at this writing and see the wisdom I am trying to impart on my great countrymen. I understand that if the bailout bill would not of passed it would mean great pain for many people but on the other hand we have our day of reckoning coming as well and I hope we will have the fortitude to get through it will our great nation intact with the ideals our founding fathers let us with. Change doesn’t come from Washington it comes to Washington.

Speak Your Mind

Tell us what you're thinking...
and oh, if you want a pic to show with your comment, go get a gravatar!