A question about the Federal bailout.

I have a question that I believe needs to be discussed about all these big bailouts that are taking place. The main question is, if all the money that is being printed by the Fed, belongs to the Fed, then why are the tax payers being made to pay this back with their tax money when it`s not our money in the first place? How do we as tax payers, who are not getting any of this money, going to pay it back? Now, with the job market going under in many areas, how are people suppose to pay this back? I read where some say that it`s only those who make over 250,000 a year, will be the ones taxed for it. And many believe this? Wow, are they in for a rude awakening. I hope I`m wrong, but when the first tax levy comes out for repayment on this, please come back here and tell me that your tax rate didn`t go way up. Really, I hope it doesn`t, but when didn`t we ever have to pay for all of these things we want in life, like wanting our government to step in to fix the economy, to help the auto makers, and who knows what else is ahead of us with all of this.

We want, we want, we want. But when it comes time to pay for it, are we going to have the money to do so? Can you stand to have your tax rate go up anymore? Can those around you afford to pay higher taxes? Are your wages going to go up so that you CAN afford a tax hike? Remember a few years back. with all the talk about the elderly and how they had to make a choice. Do they buy food, or buy medication or pay bills? All because they didn`t have the money to pay for it all. Now.....look at how close the younger generations are getting to that point. This is not like that people, and what I mean is this, we aren`t going to just ignore this like we did the elderly money problems, we are now in the same boat as they were/are. Isn`t it funny how we can over look something like that back then, but when we are put in the same boat, well now, it`s a different story.

So who`s fault would all of this be? Why are we now on the same path as the elderly were on back then? Is it because we never think ahead when it comes to things such as this? If i`m wrong with this, please tell me, i`ll stand corrected.

Just imagine that the FED IS ESSENTIALLY A CREDIT CARD COMPANY.

The Govt. is the cardholder and essentially has an unlimited credit limit on their card.

Our taxes pay the interest on this debt, very similar to the minimum payments the credit card companies want you to pay ...forever IMA ... but not necessarily the principal which is why we have such a huge deficit.

There really is no intention of ever paying this debt off. They will drive our deficit up until we're no longer able to make the payments upon when they'll revalue the Dollar, renaming it the New Dollar or the Amero which is modus operandi of all worthless fiat currencies , to pay off all of our creditors who've lent us money over the years like the Chinese, Japanese, Russians, Saudis, etc.

reply to post by FiatLux

I have a question that I believe needs to be discussed about all these big bailouts that are taking place. The main question is, if all the money that is being printed by the Fed, belongs to the Fed, then why are the tax payers being made to pay this back with their tax money when it`s not our money in the first place? How do we as tax payers, who are not getting any of this money, going to pay it back?

Well, now you understand WHY so many of us are AGAINST these bailouts.

i don't have a good grasp on how it all works but nh_ee pretty much sums up how i understand it. i definitely think you guys have good reason to be worried though and asking these types of questions.

worse, i heard yesterday some of the already bailed out companies are still going to go ahead with bonuses to top execs. they're not calling them bonuses though ... AIG for example are calling the bonuses "retention pay". what the hell?

glad i'm not an american ... i'd be spitting tacks.

The thing is, it`s not our debt. It`s the Feds debt, they are the ones who is giving it out, not us, we are just going to be forced to pay for it. I can see now, why there are cities who are going to print their own money. I read somewhere that you can create your own money, as long as it is not a copy of our normal money. That way, they can not get you on forgery charges. And to think, you don`t even have to have anything to back it up.


Edit to add, thanks for responding to this, we need to get more into this topic. I do feel we need to get this in the open for everyone to think and talk about.



[edit on 11-12-2008 by FiatLux]