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NorthSideSox72

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QUOTE(southsider2k5 @ Jan 24, 2008 -> 04:17 PM)
As long as you fit within the earning perameters, you will be getting that amount.

Not to look a gift horse in the mouth but. . .

 

Where are they getting this money?

 

Will this actually help?

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QUOTE(Soxy @ Jan 24, 2008 -> 03:19 PM)
Not to look a gift horse in the mouth but. . .

 

Where are they getting this money?

 

Will this actually help?

 

#1 it is more deficit spending

 

#2 It will have a minimal effect in most economists eyes. It is more of a mental thing than anything.

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QUOTE(Soxy @ Jan 24, 2008 -> 01:19 PM)
Not to look a gift horse in the mouth but. . .

 

Where are they getting this money?

 

Will this actually help?

This will, much like the Iraq war, be paid for by deficit spending. Hence, it will be paid for by selling bonds.

 

I really wouldn't have a problem with that concept if we weren't already running a deficit. IMO, the little I know about this subject suggests that the ideal time for the Federal Government to do things like this, go deeper in to debt, issue more debt, and get more money in to the hands of consumers is when there is an economic downturn, because that can sometimes help alleviate some of the other problems with the downturn.

 

The big problem right now is that for most of the last 30 years, we've been running with a structural deficit, meaning that we have almost never bothered to worry about a balanced federal budget. So with the exception of the Clinton Administration, we haven't taken advantage of the times when there has been growth to restore the taxes that were cut during downturns or cut the spending that was increased during a downturn. So, we've basically been constantly pumping stimulus in, especially for the last few years where we've dumped like $4 trillion or so in to the national debt with the deficits run since the Bush tax cuts and the spending on the Iraq war.

 

I think a decent metaphor might be those commercials where they test the performance of an oil by just slamming on the accelerator in 2 cars to see which one burns out the engine first. If you hit the accelerator when you start slowing down, then it can help you keep a constant speed. If you keep your foot constantly on the gas, eventually it burns out, and when you try hitting the gas more, it doesn't exactly do anything.

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QUOTE(Cknolls @ Jan 24, 2008 -> 02:06 PM)
This is the same type of rebate as the previous one in 2003? (I believe). Remember when people were filing their taxes the following year and were b****ing they had to claim the rebate as income on their taxes. This is feelgood politics at its best!! The dollar index loves the stimulus package. Hyperinflation here we come.

 

 

Agree completely. It serves no purpose, it's financed by more deficit spending ( what is the national debt these days anyway? ) and all it does is encourage people to spend more, which is exactly how we got into this mess in the 1st place.

 

It's as if you had a coke-head who is coming down off a particularly bad binge and you hand him another line to snort.

 

STUPID, STUPID, STUPID.

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QUOTE(StrangeSox @ Jan 24, 2008 -> 04:27 PM)
Would anyone be interested in doing a SoxTalk mock stock market game online?

 

 

QUOTE(3E8 @ Jan 25, 2008 -> 01:47 PM)
Absolutely. I will look into setting one up on Investopedia.com

 

 

QUOTE(southsider2k5 @ Jan 25, 2008 -> 03:23 PM)
I'd try it.

 

 

QUOTE(NorthSideSox72 @ Jan 25, 2008 -> 03:52 PM)
Only if its not just stocks. Can we trade futures and options too?

 

 

QUOTE(southsider2k5 @ Jan 25, 2008 -> 04:00 PM)
I'd love to do futures and options!

 

Ok guys I set up a game on investopedia.com. It officially starts one week from today, but feel free to join at anytime. I set it up to include options as well.

 

Group = Soxtalk

Password = whitesox

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I think this probably covers what, 75% of what's wrong with this country's economy in one article.

UNDER the stewardship of Dow Kim and Thomas G. Maheras, Merrill Lynch and Citigroup built positions in subprime-related securities that led to $34 billion in write-downs last year. The debacle cost chief executives their jobs and brought two of the world’s premier financial institutions to their knees.

 

In any other industry, Mr. Kim and Mr. Maheras would be pariahs. But in the looking-glass world of Wall Street, they — and others like them — are hot properties. The two executives are well on their way to reviving their careers, even as global markets shudder at the prospect that Merrill and Citigroup may report further subprime losses in the coming months.

 

Mr. Maheras, who left his job as co-president of Citigroup’s investment bank this fall after being demoted, has had serious discussions with several investment banks, including Bear Stearns, about taking on a top management position, people who have been briefed on the situation said. And he has also been approached by investment firms willing to back him to the tune of $1 billion or more if he decides to start his own hedge fund, these people said.

 

Mr. Kim, who until this spring was a co-president at Merrill Lynch with oversight of the firm’s trading and market operations, has been crisscrossing the globe in recent months raising money for his new hedge fund, Diamond Lake Capital.

 

The ease with which Mr. Maheras and Mr. Kim have put themselves back in play is a reminder that for many top Wall Street executives, humiliation and defeat need not result in a professional exile. And they aren’t the only ones. Zoe Cruz, the Morgan Stanley co-president who was forced to leave her job after $10.8 billion in subprime losses, has been approached by investment banks, hedge funds and private equity funds about a senior management role, people briefed on those discussions say.

 

“It is always an assumption on Wall Street that it is not the individuals that lose money; it’s the system,” said Charles R. Geisst, a Wall Street historian and a finance professor at Manhattan College. “You can fail big time, but you can also succeed big time.

 

....The quick comebacks of these executives stand in stark contrast to the plight of the hundreds of investment bankers who have received pink slips in the last two weeks. They also illuminate a peculiar aspect of Wall Street’s own version of a class divide. Senior movers and shakers often land on their feet, no matter how egregious the losses tied to them. The industry rank and file, however, from mergers-and-acquisitions bankers at Bank of America to sales executives in Citigroup’s hedge-fund servicing business, see their jobs eliminated despite being far removed from the subprime crisis.

Lost $10 billion? Oh, I'm sure it wasn't your fault. It's not like some punk 27 year old grad student out in CA was smart enough to see that there was a big house of cards being built on unreasonable expansion of credit while you couldn't. Here, try again.
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QUOTE(Balta1701 @ Jan 11, 2008 -> 02:57 PM)

Follow up on the Countrywide CEO's package. He has elected to give a lot of the severance package back to the company. But he's still keeping some of it, along with a 400k/year "consulting" job, access to the company jet, etc.

 

Clearly, the company was getting too much negative press from this. I doubt this guy made this decision of his own volition, or else he would have proposed it to begin with. But, if there is a silver lining... maybe public pressure on these severance deals is finally generating some results. That might be a good thing if it happens a few more times and starts a trend.

 

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QUOTE(Rex Kicka** @ Jan 23, 2008 -> 01:51 AM)
By the way, on individual stocks.... does anyone else think JetBlue is currently a steal at 4.70 a share? I'm no economist and I know that airline stocks are generally not good performers... but Lufthansa just dumped 750 million into the airline for 19% and I wouldn't think that would happen for a short term deal.

 

 

Jet Blue's over $6 now. Good spot.

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