Monday, September 22, 2008

Jake - I think I have the answer for Chomp Chomp Chomp...

See - what's funny here is that this really is how this works. NPR ran a story on this last night where they explained that some banks would have assets listed at 60 cents on the dollar on their books - and others might have the same sorts of assets at 8 cents... now in theory the govt is going to use a 'reverse auction' - where the banks offer their assets and lower and lower prices until they stop and the fed buys. What keeps them from stopping at 99% of their estimated value by collusion? Why.... ummm... nothing... and they're making noises that it wont just be bad 'financial assets' but any assets.

Paulson was terrifying on sunday... though the 'what's a hedge fund' people on fox and friends and 'i want my free lunch crowd' on the view this morning was almost as bad. 'we need to have the government pay off all our mortgages' - what the hell? freaking morons... There's 2 trillion in bad mortgages out there... someone is going to pay for that...

We're going to have to do something - honestly - that or i need to buy a shotgun and some canned food.

2 comments:

Karmadrome said...

I don't see that as an "either/or" situation, but that's just me.

And Chomp Chomp Chomp! is worth several hundred thousand dollars. Buying it at $2999 would make it a deeply distressed asset, huh?

GreatGoblin said...

Thank you...