Let the Bankrupt Go Bankrupt
Nobody listens to me, but maybe they should listen to Jim Rogers, the legendary fund manager who cofounded the Quantum Fund with George Soros. He had an interview with Business Week last week where he gave his views on all the bailouts:
So what should they be doing?
What would I like to see happen? I’d like to see them let these people go bankrupt, let the bankrupt go bankrupt, stop bailing them out. There are plenty of banks in America that saw this coming, that kept their powder dry and have been waiting for the opportunity to go in and take over the assets of the incompetent. Likewise, many, many homeowners didn’t go out and buy five homes with no income. Many homeowners have been waiting for this, and now all of a sudden the government is saying: "Well, too bad for you. We don’t care if you did it right or not, we’re going to bail out the 100,000 or 200,000 who did it wrong." I mean, this is outrageous economics, and it’s terrible morality.
Unfortunately nobody will listen to him either, so responsible homeowners and taxpayers will end up shouldering the burden. At least it makes me feel better knowing that I’m not alone in my views though.
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