Making a Profit while in the Red

I thought bailouts were supposed to help institutions that were in need, not those that have an excess amount of money. Oh, how foolish we are.

Recently it was made public by President Barack Obama and U.S. Secretary of Treasury Timothy Geithner that executives at the American International Group (AIG), one of the largest struggling financial companies in America, are giving themselves $165 million in bonuses.

That is a whole heck of a lot of money considering AIG requested and have received at least $170 billion in federal bailout money over the past couple of months. The company, now 80 percent owned by taxpayers, is an unfortunate example of the waste, greed, and political maneuvering that got our country in this mess in the first place.

There is no way that AIG executives deserve one penny of the $165 million they gave themselves. Bonuses. Bonuses for what? Running our economy to the ground? Putting thousands of employees and countless number of homeowners at risk? What are they trying to pull? This makes absolutely no sense whatsoever.

At any other company, losing $62 billion in the fourth quarter of 2008 would mean financial trouble and debt as large as the Empire State Building. But not at AIG. If small business owners operated their establishments like AIG, they would be considered foolish at best, and criminal at worst. That’s what happens when an institution like AIG gets too big and greedy: they disregard the rules and make up their own. And what a shame to the rest of us who have to pay the price.

After losing that $62 billion, the federal government would give them an additional $30 billion to cover their losses. Talk about Santa Claus giving generously during the holidays.

If Democrats and Republicans can agree on one thing, it’s that this has got to stop. President Obama has promised that future bailouts will have closer oversight in order to prevent travesties like this from happening again. Polls show that American support for these bailouts are slipping. And no wonder. I hope the president makes sure federal money isn’t given out like free chocolate at a candy store. This is taxpayer dollars, not free manna from heaven.

Though oversight is a difficult task, someone needs to do it, whether it be a bi-partisan council or an independent committee. Oversight is being done, but more needs to happen if close to a trillion dollars of our money is going to be given to these idiots.

Are you outraged? You should be.

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One Comment on “Making a Profit while in the Red”

  1. Jesse Javana Says:

    It always intrigues me that we still are assuming that we can bailout the country when our nation has overspent itself into this problem. I am probably speaking for many Americans who are just fed up with this entire system, Bailouts for the big, the rich and the well connected to Washington, while jobs are continuing to be lost, the cost of living is going up and the value of our currency is almost pathetic. Maybe I was hopeful for change, but now I can see that the only change that our generation will get is what we can scrap together after taxes to try and feed ourselves.

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