A few observations:
•Revenue bonds pay only if there is a revenue stream from a facility such as a toll road. Mortgages are so bound up in the complexity of the various derivatives that no one can price them ; thus the credit crunch If the toll road doesn’t collect any tolls, no revenue. No revenue and the bonds become less valuable and could possibly fade to zero worth.
•Democrats is a misnomer. It should be Socialist- Democrats. As an example, every member of the DemBlack Caucus is also a member of the Democratic Socialists of America, a communist front group. http://www.dsausa.org/dsa.html Nancy Pelosi was also a member until she began to rise in the ranks and finally became speaker. Needless to say Bernie Sanders is a member. There entire Democratic Party is nothing but a fifth column in the US.
•Re: The bailout or whatever name it gets. Charles Schwab wrote in his first book that the biggest thing that moves markets is investor psychology. I believe that psychology after twenty years of Wall Street destroying trillions in OPM is razor thin. But in reality we are not and have not been since FDR a capitalist country. We are a socialist country where the Congress collects and then redistributes OUR money…”From each according to his abilities to each according to their needs” A saying familiar to all here I am sure. Out brand of socialism is the softer Swedish model as opposed to the old Soviet model, but it is socialism…when you have 888 pages of tax code and a Federal Register weighed by tonnage you have socialism….. .Even Mad Maxine Waters slipped up a few months ago and said they were going to nationalize the oil industry. We are now nationalizing the final vestiges of capitalism.
•The conundrum. If we don’t do something the probability that there will be a Depression greatly increases, and given that the world invested in the mortgage derivatives in all their different manifestations it could easily be global.
•Insuring the mortgages v. buying them….. Instead of owning the means of production you simply confiscate any wealth generated.
