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The whole country, including the government, has been living on credit. It seems nobody owns anything in the ownership society. How many people actually own their house? Their car? Hell in order to get a more expensive car then they can actually afford many people lease. So after making payments for 3-4 years they don't own jack shit. They hand it and the keys back over and lease again, if their credit checks out. Every thing's bought on credit. "NEED!" a new computer, plasma TV, latest surround sound? No cash? Fucking finance it! Much of this financing is/was tied to the value of their house on a ARM mortgage. Once the ARM rate went up and the value of the property went down the house of cards began to fall, IMHO.
I don't know the cause of the latest greatest crisis, but I think this credit situation hasn't helped any. I don't think the sky is falling, but the market sure as hell is and where it stops no one knows. Seems to me selling out now only locks in your losses. I'm sure as hell glad I'm not holding any Merrill Lynch or Lehman's and my insurance isn't through AIG.
Speaking of AIG- What's going to happens to all those folks down on the gulf who are insured with AIG if it fails?
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I used to drink to drown my sorrows, but the damned things have learned how to swim- Frida Kahlo
Vice President Starkizzer Fan Club
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