There’s a house about four doors down, and all day and into the night there’s been a garage punk rock band practicing in the back yard. I like it. I even lit the fire first time this fall, with the kitchen window open so I can hear that fine crap they are playing down there.
Do you remember the recession? Do you know what started it? It was the mortgage-backed securities meltdown. You may be all bored now and trying to click away from this page. But I’m here to tell you the whole thing was planned by evil people, deliberately, and since it didn’t completely destroy the country, they are now trying to come up with something else that might.
At one time, if you wanted to buy a house, and you needed a loan to do it, you applied for the loan. They looked at your credit history, your employment history, your pay, and all this, and decided if you were a good enough risk for them to lend you the money. They had to have a nice warm fuzzy feeling about your ability to pay back the loan. It was a great system and it worked for a long time.
It worked so well that some people wanted to buy those loans. They knew they could pay some cost, but down the road the returns would be greater than the cost because good Americans would continue to make their house payments for many years. This is how mortage-backed securities came to be. Buying mortgage-backed securities was a great investment, because millions of American homeowners were going to keep paying their house payments.
But then, some evil people decided that the banks weren’t being fair. They were discriminating against people with crappy credit, flaky employment histories, and just awful pay. The evildoers got into congress and made the banks lend those bad-risk people money to buy homes even though they would never have qualified under the old rules that always worked so well. So the banks devised other things into the loans to try and make sure they wouldn’t get screwed, but the bottom line was, a whole lot of unqualified people that you would never lend money to for a six pack, were getting home loans.
In a perfect world, all of those people would have diplomas, licenses, Cadillacs, good credit, strong careers, wicked income, and everyone would qualify for a home loan and be able to pay it off. OK? But they don’t.
When things got tight, they could not pay. There were a lot of them. And when they didn’t pay, the loan became a liability for the lender. Thankfully they sold a lot of those loans in the form of mortgage-backed securities to other people as investments, but they had invested heavily, and they were fixing to get royally totally screwed, because so much of what makes the world go around is based on Americans like you and me paying our bills. So that’s what led to the recession, and the Wall Street Journal said the recession was over about 3 months ago.
But the same evil people are still in congress. Now they want to jerk the insurance companies around. And the vehicle they intend to use is a 1990-page bill that is commonly known among thinking people as Obamacare.
Mind you, in a perfect world, everybody would get along. Everybody would be talented, have marketable skills, have careers, own businesses, make lots of money, and buy whatever health insurance they want. Families would stay together, first marriages would last for decades, and everybody would be under that umbrella of whatever medical plan was most agreeable. That’s the perfect world. However, not everybody is in that boat, and today there are millions of people who, for a variety of good reasons, are living on public money. They get whatever health care is offered under whatever public programs they qualify for.
So along comes Obamacare, and says they are going to sweeten the pot for all these public folks. The public folks like that. Even if it’s just a little tiny bit sweeter, they like it, and they don’t care how it gets paid for but one thing is sure, and that is, they aren’t going to pay for it. Sounds good. But it does not take 1990 pages of legislation to sweeten the pot for America’s poor. That package is fully designed to raise the same havoc on insurance companies across the land, as the mortgage-backed securities crisis did on the banks. It’s just another prong of the full scale assault on capitalism *which works and produces jobs* that is part of Obama’s Hope and Change.
It’s 9PM and the wannabe garage band down the street just broke into that tune, Santaria, and I’m glad they are giving my neighbors something to bitch about besides me.
Insurance makes a profit, to be sure, but they figure out the statistics going into the deal. Some policy holders won’t make big claims, and some will, and they know how many of each. They also base the premiums on known risk factors. The 1990 page bill wants to make the insurer provide a policy for someone who already knows what their first claim is going to be, even though normally they might not want to insure that already-high-risk person. That’s like getting car insurance AFTER you had an accident. Well, let’s see, the damage was $8,000 so we’ll sell you a policy for $8600. You can already see how this is going to work. Everybody has to buy a policy under penalty of prison. And this is not just so they can sprinkle a little sugar in the pot for the poor people. This is so they can put the screws to the whole country one more time, like the mortgage-backed securities crisis.
Evil, I tell you.