I remember my freshman Economics class. Our teacher was explaining the stock market to us in a way that 9th graders could understand. He told us that the stock market was all about risk. If you were willing to assume more risk, you could earn more potential profit. If you wanted less rick of losing money, you could expect a more moderate profit.
Fast forward to 2008 – Corporations (banks, insurance companies, etc), in an upward spiral of greed, have happily made riskier and riskier investments, in an effort to make more and more profit. They have lobbied government to help them in this endeavor by relaxing laws which govern fiduciary responsibilities. Legislators, blinded by their own greed, and seeing Special Interest dollars at every turn, gladly obliged. Morals and common sense were a thing of the past.
Well, those riskier and riskier investments which made those corporations trillions of dollars for so long, finally began to sour, due largely to the fact that those risky investments were in the form of loans made to people who could not afford to pay their bills.
Now that the corporations are seeing their huge profits dwindle, they are crying and demanding that the government force us, the taxpayers, under penalty of prison, to pay those multi-trillion dollar corporations a huge some of money to make up for the loss they voluntarily incurred by making risky investments.
Ironically, most of those companies’ CEOs each make more in a year than an average American family does in ten years.
I think we should all go out and get enormous loans and use all of the money to buy lottery tickets and play blackjack. After we’ve lost everything, we should demand that the American taxpayer reimburse us for what we lost. After all, it worked for the trillionaires.