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This has really bad idea written all over it.

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AllentownJake Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 04:32 AM
Original message
This has really bad idea written all over it.
March 8 (Bloomberg) -- The Federal Deposit Insurance Corp. is trying to encourage public retirement funds that control more than $2 trillion to buy all or part of failed lenders, taking a more direct role in propping up the banking system, said people briefed on the matter.

Direct investments may allow funds such as those in Oregon, New Jersey and California to cut fees for private-equity managers, and the agency to get better prices for distressed assets, the people said. They declined to be identified because talks with regulators are confidential.

Oregon’s retirement fund may contribute $100 million as regulators seek “the support of state pension funds to solve the crisis surrounding ongoing bank failures,” Jay Fewel, a senior investment officer at the Oregon State Treasury, said in a presentation at the fund’s Feb. 24 meeting. New Jersey’s fund may also participate, said Orin Kramer, chairman of New Jersey’s State Investment Council.

http://www.businessweek.com/news/2010-03-08/failed-banks-may-get-pension-fund-backing-as-fdic-seeks-cash.html
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Go2Peace Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 04:36 AM
Response to Original message
1. The answer to all our economic woes is fairly simple. Let them fail while and invest in small banks
Stablize and invest in small banks so they can take on the role and then let the damn large banks fail. Invest all this money in small businesses. That solves a multitude of problems. But then, small businesses don't have money to pay off legislators.
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RandomThoughts Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 05:11 AM
Response to Reply #1
6. Their is something to that.
Edited on Tue Mar-09-10 05:14 AM by RandomThoughts
With no offense to Hillary Clinton, she was the one picked to win by a certain class, and when individual contributions were able, in part, to help change that, what happens, they smash the economy. And every attempt to regulate or balance top heavy payouts is met by rate increases.

I earlier surmised that the crash was suppose to be done after the election, but have not crystallized why it was moved up. But it may have been hardened by the example in the movie the 'Quick And The Dead' where the town owner got mad at them hiring a out of town gun to take him down, and threatened to raise the hardships of the common people.

The ability for individuals to effect social policy, in the world of money, has to do with how much money they have. So making society poor in a zero sum gain world, gives more power to the people that do that thing.

It is really bad, but if you can squeeze your mind into the world of money first, some people would not care about the suffering and think on different terms like maintaining control.


But here is the big thing about that, they have to maintain enough hardship for people to vote out each party each cycle, without so much that people throw out the system of money.

So there is two ways to fix things, move it off that balance line of hardship by making it better for people through peaceful revolution, simply regulating the conditions that go on in society for society, not for a few in society. Or drive them into extreme riches where they come down the other way.

We were actually closer to hard revolution, but for the sake of everyone it is better to make things better and move to more moderate situations through reform, even though it would be easier to just add one more straw to the camel.

Might as well play some clips from Quick and the Dead
Trailer
http://www.youtube.com/watch?v=NfRrEUz62Lw
Ending scene
http://www.youtube.com/user/ValyraBeth#p/u/3/CmDsOXQVXWI
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Hannah Bell Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 04:38 AM
Response to Original message
2. yes, it does. it has the smell of chile on it.
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laughingliberal Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 04:50 AM
Response to Original message
3. Using the pension funds of the public servants to buy failed banks...
what could possibly go wrong?
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Better Today Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 05:05 AM
Response to Original message
4. Wait a sec, both the terms "contributors" and "investors" are used in the
Edited on Tue Mar-09-10 05:06 AM by Better Today
article, which would they be? Investors who would ultimately end up duped, therefore contributors?
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AllentownJake Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 05:08 AM
Response to Reply #4
5. Everything in the government has been turned to do one thing
Save the banks at all cost.

What are a few state worker's retirements in the quest to save the banks?
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Sherman A1 Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 06:44 AM
Response to Original message
7. This comes to mind....
"Danger Will Robinson.... Danger"!
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rucky Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 06:56 AM
Response to Original message
8. They get points for chutzpah, though.
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AllentownJake Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Mar-09-10 08:21 AM
Response to Reply #8
9. They may reach the Bush record nt.
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