saturnfan wrote:Well did anybody not see that this was going to happen? When you increase taxes or regulations upon a business, in this case the banks, they don't just bow down and take it as punishment... they find ways to recoup that lost revenue. How do you recoup those losses? Early, you pass them onto the consumer.
Now I'm not here to argue the merits for and against the bank reforms, but if you feel that the reforms were a positive and necessary measure, then you have to pay the cost for added security.
You guys made your bed, now sleep in it.
No, you don't have to pay those costs. You can go to a credit union. That's the whole point.
And you seem to have missed the fact that it was the banks that crippled this economy and profitted considerably. They've made the bed, and now they should lie in it, not us.
Then why reform the bank if you are just going to boycott it anyways?
They also only profited because we didn't allow them to fail. So essentially they weren't profiting by engaging in reckless behavior. So yea, they should sleep in their bed too, but we went to great lengths to make sure they didn't have too.
Hatta wrote:JP Morgan, Countrywide, etc., still broke the law by filing thousands of fraudulent mortgages. Then they packaged them into securities, and broke the law again by misrepresenting those securities.
Which law was broken? Because as far as I know there's nothing illegal about selling high-risk securities.
There is an alternative method that's less complicated, which just involves basic caring about your fellow man, but it sounds like you have a strange condition where every time you point your finger to blame, your heart closes up.
I just don't care about my fellow man. At all. I care about people I have forged an interpersonal relationship with, but not the other 6 billion people on the planet.
Blizzard Entertainment Software Developer - All comments and views are my own and not representative of the company.
saturnfan wrote:Then why reform the bank if you are just going to boycott it anyways?
They also only profited because we didn't allow them to fail. So essentially they weren't profiting by engaging in reckless behavior. So yea, they should sleep in their bed too, but we went to great lengths to make sure they didn't have too.
You forget that the people who reformed the banks (the government) aren't calling on a bank boycott, that's just a choice of the consumers.
By bailing out the banks the government created an issue with moral hazard: http://en.wikipedia.org/wiki/Moral_hazard. The economics of the situation required us to bail them out or else risk an even greater collapse of the world economy than we witnessed. This has taught the banks that they are so important that they will be bailed out regardless of how risky they behave. Reform was necessary to prevent them from acting in such a reckless manner again and that was a decision of the government, not the consumer. The consumers have decided to boycott because the banks are still focused on profit and are neglecting their core role of financial intermediaries in the economy.
"There are two ways to get enough. One way is to continue to accumulate more and more. The other is to desire less." G.K. Chesterton
Croooow! wrote:The consumers have decided to boycott because the banks are still focused on profit and are neglecting their core role of financial intermediaries in the economy.
<sigh> The whole point of banks, just like every other business, is PROFIT! Stop acting like it's any other way. Banks make their profit through being a financial intermediary, but at the end of the day if they aren't turning a profit then they're a bad bank.
Blizzard Entertainment Software Developer - All comments and views are my own and not representative of the company.
Croooow! wrote:The consumers have decided to boycott because the banks are still focused on profit and are neglecting their core role of financial intermediaries in the economy.
<sigh> The whole point of banks, just like every other business, is PROFIT! Stop acting like it's any other way. Banks make their profit through being a financial intermediary, but at the end of the day if they aren't turning a profit then they're a bad bank.
I'm not saying they can't profit, no industry can exist if it isn't profitable. The issue arises when banks are profiting but not lending. The needs of the banks (profit) and of consumers (the ability to invest and lend) should match up and when they don't we have severe issues. For example, in the 1980s banks were doing a fine job of lending but profitability for financial istitutions was abysmal compared to banks abroad. As a result the government deregulated the banks to enable them to profit more while still providing the services that are vital to our economy. The banks increasing their profits there was a good thing. Now the balance has shifted to the other extreme and that balance needs to be restored.
"There are two ways to get enough. One way is to continue to accumulate more and more. The other is to desire less." G.K. Chesterton
Banks make a ton of their profit off of lending. Over the course of a 30 year mortgage you end up paying more on interest than on principle. What banks aren't doing anymore is getting into high risk loans. They want people who can demonstrate an ability to pay off the loan at the agreed upon terms. Every loan has risk, and they're trying to minimize.
Blizzard Entertainment Software Developer - All comments and views are my own and not representative of the company.
MrPopo wrote:I just don't care about my fellow man. At all. I care about people I have forged an interpersonal relationship with, but not the other 6 billion people on the planet.
I don't even know what to say to that, other than I find it sad and scary all at the same time that you would think that way.
Even the people we don't have direct interpersonal relationships with still pave our roads, stock our grocery stores, deliver our mail, farm our crops, staff our hospitals, care for our friends when we're not around, and our friends of friends. We're all on this rock together and we're all connected in some way. Your viewpoint is so strange and foreign to me. Our hearts have a boundless capacity for basic compassion. It's not like you need to ration it. It's not a limited resource.
saturnfan wrote:Well did anybody not see that this was going to happen? When you increase taxes or regulations upon a business, in this case the banks, they don't just bow down and take it as punishment... they find ways to recoup that lost revenue. How do you recoup those losses? Early, you pass them onto the consumer.
saturnfan wrote:Well did anybody not see that this was going to happen? When you increase taxes or regulations upon a business, in this case the banks, they don't just bow down and take it as punishment... they find ways to recoup that lost revenue. How do you recoup those losses? Early, you pass them onto the consumer.
Bail. Out.
Next argument?
I don't see what you are trying to say. Try forming an actual sentence.
