BF2S Forums Won't the $700 billion bailout cause inflation?

Mek-Stizzle wrote:

So, it now (actually) does look like they really are going to do it.

US lawmakers 'agree rescue deal'

McCain and Obama back bail-out package

US politicians have agreed on the details of $700bn Wall Street bail-out package to be sent to Congress for approval, a Republican negotiator says.

Senator Judd Gregg said the package could be voted on as early as Monday.

http://news.bbc.co.uk/1/hi/business/7640872.stm

Ok.

So, what if it all doesn't work out as planned and things still go bad? The US will be screwed, but, even more screwed than it would've been if they had just let things go pear shaped before throwing $700bn at it. You guys (hell, all of us) better hope it works. Otherwise....fuck knows..!

It won't work, its not meant to fix anything. Its only meant to slow down the enivitable correction. they are going to throw money at the problem in the hopes that the economy will inflate upwards towards the bubble instead of allowing the economy to deflate down to reality. The bailout is  really is going to prolong the pain. Plus its going to give money to the companies who are going to push the price of commodities back up. Thats the real fear on wall street because companies and peolpe rushed into commodities for safety and caused it to bubbble too. But if the banks get in trouble and have to liquify their holdings in commodities then the commoditiy bubble will burst  and oil will fall to $50 a barrel. They pass the bailout then get ready for $200 barrel oil funded by your tax dollars.

There are so many reasons why people should be against this ''bailout''.  My favourite has to be, that effectivly, we are bailing these bastards out to then go take peoples homes from them. 

Some times you just got to laugh.