So while studying today, I was listening to a station on Sirius called Indie Talk. It's okay, the only guy on there I really like listening to is Ron Silver, but I'm an independent so it's all I could listen to political-wise. So this guy named Vinnie was on, the show was called "Me and Vinnie", and he was talking about the rising rate of foreclosures and how there's talk of a government bailout to help out these homeowners. This guy went off for ten minutes saying how the government shouldn't bail them out and that it's communism (not really, Vinnie) before I finally shut it off.
I do agree that homeowners probably shouldn't be bailed out. While the lenders share a large part of the blame for their until-recent tendencies to give a loan to anyone with a pulse, the people who were buying these homes should not have been buying them. They bit off more than they could chew. You also probably have a few speculators in there who were taking out loans to buy home and expecting that their equity would increase, and then were planning to sell at a profit. So no, I don't think they should be bailed out.
But on the other hand, just last week, you had the Fed bail out Bear Stearns, the investment house. They say that it was a co-effort between the Fed and JPMorganChase, but that's bullshit. The Fed just gave our money to JP so they could buy Bear in a firesale. I'm not a regular talk radio listener, but I think it'd be pretty safe to wager that when this happened, you didn't have "Vinnie" and all the other talk-radio guys going on rants about how Bear Stearns shouldn't be bailed out, and that it was "communism" to do so. Just like they weren't saying this back during the S&L scandals, or post 9/11, when the airlines needed our money.
So when some poor sucker who bit off more than he could chew needs the government to save him from losing his house, that's "communism." But when the government bails out Wall Street, then it's capitalism. Understand?