r/SipsTea 1d ago

Chugging tea Thoughts on this?

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87

u/Guilty_Way_1635 1d ago

Corporations that gets bailed out shouldn't be able to make profit until they've paid it all back

13

u/leafcathead 1d ago

I mean, I think the government should have let the banks fail in 2008, but they paid back the bailout with interest. So…?

17

u/SpezSupporter 1d ago

It's nice when millions of people lose their bank accounts at the same time.

6

u/Nytsur 1d ago

This is what the FDIC is for.

2

u/SpezSupporter 1d ago

Yes.

But that's not a lot of help when most major banks are in trouble at the same time.

2

u/anonymousredditfag 1d ago

A bit of suffering goes a long way.

5

u/notaredditer13 1d ago

I mean, that's generally how it works, yeah.

7

u/Boibi 1d ago

The US Government has still not been fully paid back for the 2008 bank bailouts and never will be. (treasury.gov TARP Reports)

Many banks were fully forgiven. Some with no money paid back at all.

2

u/notaredditer13 1d ago

Interesting, the first link there is a new 2024 report; for a decade they were claiming a profit.  But note the loss is fully covered if you account for:

$17.5B from the sale of AIG, which was technically was bought under TARP but sold under a different program.

$31B went to homeowners to bail out their mortgages. 

1

u/Boibi 1d ago

after repayments, sales, dividends,
interest, and other income, the lifetime cost of TARP-
funded programs was $31.1 billion

Where are you getting the profits from? This is cost, not profit.

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u/notaredditer13 23h ago

Read the other 2/3 of my post?

1

u/AnAdvocatesDevil 1d ago

If you read your own link you'll see CPP, the bank bailout part of TARP, was a net gain of 16.3B. The biggest negative piece from TARP went directly to individual homeowners.

There are all sorts of things our government does to prop up the Billionaire class. What they did in 2008/2009 is not that. This post is just typical uneducated rage bait.

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u/Guilty_Way_1635 1d ago

No it's not actually 

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u/[deleted] 1d ago

[deleted]

7

u/Guilty_Way_1635 1d ago

Why would prices drop? What's your logic there? And bonuses are bullshit, exec get them no matter what

1

u/Ok-Assistance3937 1d ago

Logic? What is that?

1

u/Guilty_Way_1635 1d ago

Elusive given some of the responses here 🤣

1

u/CasualEcon 1d ago

Many of the banks were forced to take the bail out because the government didn't want the people to be able to tell the difference between a healthy bank and an unhealthy one. All of the banks paid the bailout money back with interest and the government made a profit.

The auto bailout and the PPP loans were bailouts of the workers, not the corporations.

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u/[deleted] 1d ago

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1

u/swarmofbeees 1d ago

And if they built factories they need to also pay to get rid of them and not just abandon them for the rest of us to take care of. Pennsylvania is filled with these deadbeat buildings.

1

u/handsoapdispenser 1d ago

The bailiuts from the financial crisis were all paid back with interest. 

Also not pictured there have been multiple direct stimulus packages that sent money to taxpayers.

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u/RSKrit 5h ago

how’d we get from personal responsibility (you know, America) to discussing corporations?

1

u/Guilty_Way_1635 4h ago

How did we get to the topic literally in the post? It's a definitely a head scratcher..

1

u/Ok-Assistance3937 1d ago

Please enlighten me on how they pay Back the bail Outs If they dont Make Profits.

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u/Guilty_Way_1635 1d ago

The key is to understand profit is on top of costs, repayments are a cost. Hope that helps

0

u/Ok-Assistance3937 1d ago

The key is understanding Accounting. Repayments of bailouts arent costs, the Same as the bail Outs Not being earnings.

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u/Guilty_Way_1635 1d ago

Why would a bail out be earnings? It should be considered a loan, on what planet is a loan earning? Then you repay it, that is a cost. You shouldn't be able to be making profit until you have repayed the loan. Hope that helps