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Sep 25 2008

Wall Street $700 Billion Bail Out Analysis : What Should Congress Do ?

Published by jaderadha at 12:30 am under Business, Education, politics, true story Edit This

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Think for a minute about what the Wall Street Bail Out really means.  Our government giving $700 Billion to AIG and others.  Think of what this money will be paying for.  Here’s a short list I thought of off the top of my head.

  • Corporate Salaries: CEO, VP and don’t forget the Board of Directors.
  • Staff Salaries.
  • Corporate Expenses such as rent, electric, travel and lots more.
  • Bonuses:  AIG gave $3 Billion in bonuses last year.
  • Investments:  For example new projects or ventures.  Research and Development.
  • Bank Accounts.

The problem with this Wall Street Bail Out is that the money gets filtered through all this listed above before it gets to the guys on “Main Street”.

What Congress needs to do is:

  1. Find out who this effects on Main Street.
  2. See if there’s any state laws that protect them.
  3. If not then Bail Them Out.

This approach will be much cheaper and remember that many of these people that are effected by the Wall Street Crash are covered by there state laws and will be okay.

As far as AIG goes, they will probably be divided up and sold to other American Banks.  I think Congress should also make sure that ONLY American banks by out AIG.

This is a better plan I think.

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