So, can we revolt yet? (WSJ exposes who has been getting the AIG bailout $$)

[Cowlesy]

http://online.wsj.com/article/SB123638394500958141-email.html

So...can we revolt now?

What has happened in a nutshell is that the "bailout money" sent to AIG, was then transferred to all these banking institutions to make derivative contract holders whole on their failed bets.

Because, you know, you wouldn't want them to actually fail on a horrible derivative bet they took.

I hope this makes some Main Streeters mad.

Mad as hell.

[angelatc]

I am not surprised by this. When I saw Buffet take a position in Goldman, I knew there was money to be made.

But I do not think that Main Street will be upset by this, because they can't understand it.


This AIG unit sold the banks credit-default swaps, which acted like insurance on complex securities backed by mortgages. When the securities plunged in value last year, AIG was forced to post billions of dollars in collateral to counterparties to back up its promises to insure them against losses.

This makes it sound like they were selling an insurance product.

[sevin]

The only revolt in this country will be a socialist revolt.

People don't understand the way in which they're being screwed over, so they will unknowingly demand that government screw them over even more. Just look at the people in New York demanding more government aid.

[micahnelson]

I predict that this will fly over most peoples heads. And business as usual will continue unabated.

[Lovecraftian4Paul]

Even if the news told the truth about this, it would be over most people's heads. They do not understand simple economics anymore.

We must not look to the majority to support a revolt. Any "majoritarian" looking revolution would probably be sparked by the low castes, as others have noted, and would be socialist in aim and character. The American Revolution proved it only takes a small and righteous minority to produce the type of change we want. The masses were stupid then, are stupid now, and will always lean toward the winning side, regardless of who it is.

[raiha]

Is this is in the MSM???You are right Cowsley..here is a fine reason for the peasants to revolt. I don't think the people are that stupid at all...rather they are hopeless, feel powerless like rabbit in front of headlights.

[A. Havnes]

I'm really starting to think a revolt would be good; I'm just not sure anymore if we'll get another chance. I see advertisements for a NWO, and I wonder, "Will we even be able to vote next time? Will voting matter?"

We don't need an entire nation behind us, as no past revolutions have ever consisted of a majority. What we do need, though, are passionate people with a skill they can contribute, firearms, and strategy. I'm not a war monger, and while I'm not anti-violence, I don't believe I have the right to actually kill anyone. However, I am prepared to help in a Revolution in order to secure our future.

[malkusm]

I'm really starting to think a revolt would be good; I'm just not sure anymore if we'll get another chance. I see advertisements for a NWO, and I wonder, "Will we even be able to vote next time? Will voting matter?"

We don't need an entire nation behind us, as no past revolutions have ever consisted of a majority. What we do need, though, are passionate people with a skill they can contribute, firearms, and strategy. I'm not a war monger, and while I'm not anti-violence, I don't believe I have the right to actually kill anyone. However, I am prepared to help in a Revolution in order to secure our future.

I believe in a principle of non-aggression.

That said:

This, and about 100,000 other things over my lifetime, are governmental acts of aggression against me.

I do believe in self-defense.

[Truth Warrior]

.....

[Truth Warrior]

http://online.wsj.com/article/SB123638394500958141-email.html

So...can we revolt now?

What has happened in a nutshell is that the "bailout money" sent to AIG, was then transferred to all these banking institutions to make derivative contract holders whole on their failed bets.

Because, you know, you wouldn't want them to actually fail on a horrible derivative bet they took.

I hope this makes some Main Streeters mad.

Mad as hell. Whenever you are ready.<IMHO> ;) I don't think getting permission is required. :)

[LibertyEagle]

I don't think they'll understand it, Cowlesy. :(

[torchbearer]

I don't think they'll understand it, Cowlesy. :(

This.
I know they don't understand it.
I talk to tons of people a day at the diner. Joe Street doesn't understand.

[sevin]

I know they don't understand it.
I talk to tons of people a day at the diner. Joe Street doesn't understand.

It's why the government has gotten away with the inflation tax for so long. I've tried to explain it to many people, and though they sorta nod their heads, I can tell from their vacant eyes and lack of questions/comments that they just don't get it.

[raiha]

But it is a form of DENIAL rather than stupidity. If you really comntemplate the dimensions and the potential consequences of what is happening (for decades!) and the UNSEEN consequences, (God help us) - already you have to be reasonably brave to do the contemplating and self-informing. This means people do not want to take responsibilty. People need to be SHOCKED into looking at it. While they still have their lazy-boys, their televisions and their personal lives still hobbling along, they won't LOOK! They want the fairy godmother (Obama) to wave a magic wand and take them to the ball!

I'm sure in the 1800's it was only a few 'awake' ones who took the initiative. The masses just wanted to maintain the status quo...feed their families and look after them.

[Cowlesy]

I wonder how I could simplify it.

This guy went to work today. He pays an effective tax rate of 25%.
http://www.masoncontractors.org/newsandevents/masonryheadlines/images/20060811081300-1.jpg

His Tax money was sent to the U.S. Treasury. The U.S. Treasury in-turn sent that money to AIG. AIG to cover its liabilities sent it to Goldman Sachs. Goldman Sachs turned around and did a distribution to investors in X Credit Default Swap, like this guy:

http://schema-root.org/people/career/business/advisors/investment/robert_jaffe/robert_jaffe.jpg

[Truth Warrior]

"If you want to understand, what's REALLY going on, just follow the money!"

[rockandrollsouls]

I am not surprised by this. When I saw Buffet take a position in Goldman, I knew there was money to be made.

But I do not think that Main Street will be upset by this, because they can't understand it.



This makes it sound like they were selling an insurance product.

Exactly. He shouldn't have credence for being a good investor....he should be noted for CHEATING. He's a common thief with ties and insider information.

[ItsTime]

What type of revolt are you talking about?

[fedup100]

I wonder how I could simplify it.

This guy went to work today. He pays an effective tax rate of 25%.
http://www.masoncontractors.org/newsandevents/masonryheadlines/images/20060811081300-1.jpg

His Tax money was sent to the U.S. Treasury. The U.S. Treasury in-turn sent that money to AIG. AIG to cover its liabilities sent it to Goldman Sachs. Goldman Sachs turned around and did a distribution to investors in X Credit Default Swap, like this guy:

http://schema-root.org/people/career/business/advisors/investment/robert_jaffe/robert_jaffe.jpg


I think I just got it. :(

[Live_Free_Or_Die]

http://online.wsj.com/article/SB123638394500958141-email.html

So...can we revolt now?

What has happened in a nutshell is that the "bailout money" sent to AIG, was then transferred to all these banking institutions to make derivative contract holders whole on their failed bets.

Because, you know, you wouldn't want them to actually fail on a horrible derivative bet they took.

I hope this makes some Main Streeters mad.

Mad as hell.

I wonder if I could get some gambler bailout money.

If I bet a billion dollars on the #10 horse and the #10 loses am I eligible for a bailout?

[ItsTime]

Bump for good info

[angelatc]

I don't know if this is right - but this is the way I understand it - CDSs are like insurance policies....except that they aren't regulated, and therefore the underwriter (AIG) isn't required to maintain any reserves or limit liabilities.

So, the people at the brokerage arm of AIG sold CDSs to their customers (other brokerages and banks) - meaning that the customers sent AIG money every month in exchange for a guarantee that if the credit instruments they were holding defaulted, AIG would cover the losses - swap the losses for cash. Credit Default Swaps.

So, the house of cards collapses, and all the credit instruments default. Oopsie! AIG doesn't have the money to pay their liabilities.

The people at the brokerages and banks all have degrees and licenses. They damned well knew the difference between insurance and CDSs. We should let them all fold. If they wanted insurance, they should have bought insurance. If they wanted guarantees, they should not have been in the securities market.

[surf]

I don't know if this is right - but this is the way I understand it - CDSs are like insurance policies....except that they aren't regulated, and therefore the underwriter (AIG) isn't required to maintain any reserves or limit liabilities.

So, the people at the brokerage arm of AIG sold CDSs to their customers (other brokerages and banks) - meaning that the customers sent AIG money every month in exchange for a guarantee that if the credit instruments they were holding defaulted, AIG would cover the losses - swap the losses for cash. Credit Default Swaps.

So, the house of cards collapses, and all the credit instruments default. Oopsie! AIG doesn't have the money to pay their liabilities.

The people at the brokerages and banks all have degrees and licenses. They damned well knew the difference between insurance and CDSs. We should let them all fold. If they wanted insurance, they should have bought insurance. If they wanted guarantees, they should not have been in the securities market.


Bingo. i think CDS were sold to people that may not have known quite what they were purchasing, but the carried a AAA rating so they didn't feel a need to learn what was going on.

[sluggo]

The only revolt in this country will be a socialist revolt.

People don't understand the way in which they're being screwed over, so they will unknowingly demand that government screw them over even more. Just look at the people in New York demanding more government aid.

I'm afraid that you are probably right.

[Lord Xar]

http://online.wsj.com/article/SB123638394500958141-email.html

So...can we revolt now?

What has happened in a nutshell is that the "bailout money" sent to AIG, was then transferred to all these banking institutions to make derivative contract holders whole on their failed bets.

Because, you know, you wouldn't want them to actually fail on a horrible derivative bet they took.

I hope this makes some Main Streeters mad.

Mad as hell.

This is the crux of the issue, and why there will be no revolt. WSJ reports on this, an online source that has a few hundred thousand visitors at most. The mass media will not report this, the masses who vote etc.. will not hear about this and this will not go anywhere. It is a shame. Perhaps what is needed, are mass lawsuits put against the government for sedition / treason etc....

As it stands, nobody will hear about this.

[RickyJ]

So...can we revolt now?

If you have to ask for permission, then no, you can not revolt.