A bucket full of pork lard
 

The total amount of money at risk from “toxic” mortgages assuming the
prices are inflated as much as 50% is considerably less than $500
billion. The govt could buy a share in these mortgages and get rid of
the mortgage insurance set the interest at 4.5% thus lowering the
payments radically and assume a part ownership in the property so that
if sold they get a percentage.
Zero down mortgages are STIL BEING PUSHED. Stop this nonsense that
caused the problem.
Give a $30,000 tax credit/employee to any company that hires a new
employee in 2009 and keeps him for a year with either an additional
smaller tax credit in subsequent years of they pay back the tax credit
if they lay him off. For a million new employees, this would cost the
govt only $30 billion dollars. For a whole years worth of the sort of
lay-offs we saw this past month it would only take $180 billion. THIS
WOULD DEFINITELY PRODUCE NEW JOBS.
Instead, we have a trillion dollar lard bucket with only 90 billion in
infrastructure. The rest is pure pork lard.

A bucket full of pork lard
 

"Frogwatch" wrote in message
...
The total amount of money at risk from “toxic” mortgages assuming the
prices are inflated as much as 50% is considerably less than $500
billion. The govt could buy a share in these mortgages and get rid of
the mortgage insurance set the interest at 4.5% thus lowering the
payments radically and assume a part ownership in the property so that
if sold they get a percentage.
Zero down mortgages are STIL BEING PUSHED. Stop this nonsense that
caused the problem.
Give a $30,000 tax credit/employee to any company that hires a new
employee in 2009 and keeps him for a year with either an additional
smaller tax credit in subsequent years of they pay back the tax credit
if they lay him off. For a million new employees, this would cost the
govt only $30 billion dollars. For a whole years worth of the sort of
lay-offs we saw this past month it would only take $180 billion. THIS
WOULD DEFINITELY PRODUCE NEW JOBS.
Instead, we have a trillion dollar lard bucket with only 90 billion in
infrastructure. The rest is pure pork lard.
------
I too have had problems with the math of these bailouts. Say you are
porking $2T dollars which is where it is headed, and there are 80M homes,
that is $25K per home.

While it is somewhat less than that per worker, why not allow a tax credit
to workers of say 25% of federal taxes if redirected to paying down the
mortage. If you can show you have clear title, you get cash, otherwise it
must be mortgage buy down. That will reduce interest payments by $100/mo.
for all. If you do not own a home, you have up to 3 years to claim the
credit IF used to buy a home, 20% down. Which would put some life back into
real-estate as inventory decreases.

Trouble with giving it to companies, once their obligation is complete the
new hires will be fired and no lasting value. Just delaying the inevitable.
But as equity in a home it improves the bank's rating on the load/equity
positions and leave value. Unlike GM bailouts where the money evaporates to
rich creditors not wanting to face the piper, it also addresses the middle
class cash flow position.

To cover the debt, downsize government. Statism types hate this but the sad
fact is our society can no longer afford expensive behomoth sized
government.