700 billion you say? You'll have to burn me first!

So, did you hear the news? congress said no to spending 700 billion to wall street investment firms. I have mixed feelings about this. This is good, because it won't contribute to America's 10 trillion dollar debt. On the other hand, it could act as a catalyst. Stocks go down, people start withdrawing cash, companies start to fail because they have no investors. Then we have banks that might fail if people start taking money out of them. It could lead into another great depression. 

The Democrats have been crying this for a while now. A few years back when Republicans said the economy is looking good, and the Democrats where saying its on a rail road to hell. The Republicans where saying it was good, because the stock market was hitting a new high every single day! It was THE time to invest. However, later on we started seeing mortgage companies in crises. why? Because they gave out loans to people that can't afford them. Now because the companies can't get their money back with interest, we start see them asking for a bail out. Well, they got it.

The same thing happened with banks. They got a bail too. This also happened with the investment industry. The last two I would say where legitimate threats, that needed to be fixed. This one is different. People loose money all the time in the stock market. It just so happens it's going down with a noise dive. I don't advocate socialism or Marxism, but I think it was Karl Marx that said something along the lines of, The problem with capitalism is that it has a bubble and then it pops. The bigger the bubble, the bigger the pop. I'm starting to believe this.

I guess overall, I'm glad we didn't bail them out though. We only increased the national debt these past 8 years. We did nothing to fix it. If we can't contribute money to fix the national debt, then why would we add more on to it till we do? We would just be asking china for nearly another trillion dollars to fix our problem. If anything, it will force companies to be more responsible.