What will 700 billion do to AIG and economy?

AIG was at its lowest at about $2.xx then it had to borrow 11 billion if im not mistaking to stay afloat. Stock went up a bit, but now its back to $3.xx so it seems like 11 billion didnt help at all. With $700 billion passing will this effect AIG to go up again?? and then start crashing again?? seems like someone is doing something wrong!

Will the bail out plan change the market enough to notice a difference or will it basically just be enough to MAYBE somewhat stabilize it?? I dont have much knowledge with economy and stocks but this chaos interests me.

Why can't the government take that 700 billion and devide that up amongst the 200 millions amricans over age 18, give uncle sam 30% (210 mil)? That would give everyone over 18 2.5 million each. B4 getting the money, all lenders would be paid off. This would stimulate the economy in every way possible. The only downfall I see is that people would stop working! To solve this, simpll pay off everyone's debt and give no extra money! Somebody answer that!!

Allen in Florida

Originally posted by Anonymous ATS
Why can't the government take that 700 billion and devide that up amongst the 200 millions amricans over age 18, give uncle sam 30% (210 mil)? That would give everyone over 18 2.5 million each. B4 getting the money, all lenders would be paid off. To solve this, simpll pay off everyone's debt and give no extra money! Somebody answer that!!

Allen in Florida

Stick to spelling bees, 'Allen'.

700 Billion divided by 200 million is $3,500.00. Tax that at 40% and you're left with $2,100.

Hardly a windfall.


PS 30% of 700 Billion is 210 Billion.


[edit on 28/9/2008 by Badge01]

AIG keeps falling

but i invested in some cheap stocks that were going up a bit

EVERGREEN SOLAR INC COM (ESLR)
900 shares at 1.35 up 310%
THORNBURG MTG INC COM NEW (TMA)
100 shares at 6.14 up 3.0%
GOLDEN STAR RES LTD CDA COM (GSS)
400 shares at 1.93 up 2.5%

What does the 700 billion cover? And why can't the federal government just cover a portion of the debt as opposed to the entirety of it? I was just wondering if this possiblity had been discussed (probably). My thoguht is that no one at AIG can manage money or maybe their high priced bean counters blew a number what ever the case, if NICKT916 is correct in his statment, AIG is probably not worth saving (some people may disagree). Just a generic statment, but if every American bought one more item a month that was made in America the economy would probably be in better shape (AIG situation not included).