Our financial system is crumbling this week.

[Jocephus]

just got this letter from gov. sebelius

February 17, 2009
Colleagues,
This is a difficult time for Kansas families, seniors and many others who are dealing each
day with the economic challenges presented by the recession. As a state employee, I know
that you are already dealing with the challenges of more limited resources in your agency.
Last week, I called a meeting of the State Finance Council to approve moving money from
one account to another so the State can pay its bills, including State Employee payroll, on
time. This routine budget action has been approved every year for the last ten years. And
we told legislative leaders in December, when they cut my request in half, that we would
need a certificate by mid-February.
Yesterday, legislative leadership told me they would not approve this transfer until I sign
the 2009 budget bill. The problem is - the bill has not been delivered to my desk, so I have
nothing to sign.
As a result of this action, State Employee payroll, which is due Friday, is now in jeopardy.
I want to assure you that I am and always have been an advocate for state employees. I
know the important work you do each day benefits countless people across this great state.
I will continue to be an advocate for you and for numerous other groups affected by this
irresponsible action.
I hope this will be resolved quickly and I will continue to do everything I can to ensure a
responsible, timely solution to this situation. In the mean time, I hope that we can all
continue to provide the best service possible to the Kansans that rely on us each day.
Sincerely,
//s//
Kathleen Sebelius

[maddash]

So has anything changed within the banking/financial system?

Can subprime borrowers still get mortgages they can't afford? Do they have to prove their earning on the paperwork, or can they still lie about it (or have the lender lie for them)? Can subprime loans still be securitized? Can those bonds still be given AAA rating they don't deserve?

Maybe I've just missed it all in the confusion, but I don't see any new regulation in the mix to prevent this from happening again.

[Freed Roger]

trump casinos is filing for chapter 11!!!!!

http://www.msnbc.msn.com/id/29227730/?GT1=43001



I want to laugh my arse off about this and say ha ha you pompous jackalope... but donalds gets last laugh by fleecing the bankruptcy system and all the creditors that married into his operation. So indirectly donalds gets bailed out by us, and not for the first time.

...and people blame acorn etc for the financial crisis. vaat a country

[greenback44]

So has anything changed within the banking/financial system?

Can subprime borrowers still get mortgages they can't afford? Do they have to prove their earning on the paperwork, or can they still lie about it (or have the lender lie for them)? Can subprime loans still be securitized? Can those bonds still be given AAA rating they don't deserve?

Maybe I've just missed it all in the confusion, but I don't see any new regulation in the mix to prevent this from happening again.

I've been told by people that there are supposed to know these things that much of the securitization market dried up over a year ago, and it's not just mortgages, but also some weird stuff that most people don't care about. No regulation necessary as the experts now recognize how stupid they were, and they either can't or won't give away more money in this fashion. Ordinarily the question would be what's the next great stupidity stampede, but right now people are over-pricing risk, if anything. BTW this was not a subprime crisis. That was the merely the first and most obvious symptom of the general under-pricing of risk, thanks in part to a huge capital inflow from east Asia. That too will be fixed by the market soon enough, as Asia won't have those huge trade surpluses.

I guess now that Stanford has been busted, Felix Salmon will sleep easily tonight.

[Freed Roger]

pardon my stereotyping - but doesn't this guy just look look like a crook. Anybody with a lick of sense would be wary of giving this cat money, just from his picture. Then there is his waspy name.

What's that Adam Sandler movie - oh yeah, "Mr. Deeds" he addresses the shareholders and says "hey You Mr. Monopoly Guy"

[Jocephus]

Chrysler asks for another $5 billion
Automaker says it now needs a total of $9 billion in federal help to turn around the company; will cut 3,000 jobs

http://money.cnn.com/2009/02/17/news/co ... 2009021716

[PujolJunkie]

Jesus.

[AdmiralKird]

GM and Chrysler just need to file Chapter 11 and restructure.

[Hungary Jack]

GM and Chrysler just need to file Chapter 11 and restructure.

As long as the federal government is willing to prop up these companies, there is no reason for them to file for bankruptcy.

[Arthur Dent]

Now both Republican Senator Lindsey Graham and Alan Greenspan of all people have endorsed temporary nationalization of banks. I don't think this is politically impossible.