 Quote:
Originally Posted by garysher  Can any President fix the current economic problems? Most of which are caused by the American people just as much as politicians or big banks.
For decades Americans have refused to drive smaller more economical vehicles like their counterparts in the rest of the industrialised world. Had they bitten the bullet in the 1970's the problem wouldn't be as bad.
And nobody was forced to take on a mortgage with an escalating interest rate. |
I think it'd be hard to 'fix' it in one term. The issue with people in the US beyond the insane need to drive Environmental Assualt Vehicles is the lack of savings. Personal savings give bouyancy to an economy. Its not just mortgages that are at issue. Its credit agencies and their insane Universal Default Clauses, escalating interest rates on credit cards because people were late for a month when they'd paid the card on time everytime for 20 years suddenly their 'credit' history doesn't extend past one month and your interest rates go from 12% to 39% which means for many people they can't met their minimum payment and they may use another card to pay the credit card ..which means more credit. All of which makes banks and credit agencies happy. None of these practices exist in other countries who are also not experiencing a 'credit crunch'.
As for mortgages your right no-one made anyone get a mortgage with a flexible interest rate but thats not terribly politically helpful...they politically need to rescue them. Personally I think let them drown and maybe they will learn but for the most part people are stupid and they are not going to learn from their mistakes of the past. The whole leanding/credit industry needs a major overhaul with more prhibtions against current banking actions. This is of course not something banks want which is problematic and is not a stance the GOP would generally take but it needs to happen. |