http://livefitblog.com/2008/11/25/warren-buffet-on-detroit-bailout/ Tips For How To Be Healthy And Live Fit Sat, 31 Mar 2012 04:27:14 +0000 hourly 1 http://livefitblog.com/2008/11/25/warren-buffet-on-detroit-bailout/#comment-478 Greg Mon, 01 Dec 2008 11:31:29 +0000 http://livefitblog.com/2008/11/25/warren-buffet-on-detroit-bailout/#comment-478 Exactly! Exactly!

]]> http://livefitblog.com/2008/11/25/warren-buffet-on-detroit-bailout/#comment-477 Craig at Balanced Immune Health Mon, 01 Dec 2008 04:03:54 +0000 http://livefitblog.com/2008/11/25/warren-buffet-on-detroit-bailout/#comment-477 This premise is, I think, the needed basis for reform of our financial system. Equity. If a certain amoung of leverage is to be allowed, then, our system must require a certain level of equity or "skin" to be placed in the leveraged asset, security, etc. No more investment banks being allowed to run up a 30 to 1 debt/equity ratio. No more mortgages with no down payment or proof of income. No more naked shorts. When Bush talked about the "ownership society," I don't think he realized he was onto something bigger. Complex financial products must require a level of tangible, clearly assigned ownership by an issuing entity. This premise is, I think, the needed basis for reform of our financial system. Equity. If a certain amoung of leverage is to be allowed, then, our system must require a certain level of equity or “skin” to be placed in the leveraged asset, security, etc. No more investment banks being allowed to run up a 30 to 1 debt/equity ratio. No more mortgages with no down payment or proof of income. No more naked shorts. When Bush talked about the “ownership society,” I don’t think he realized he was onto something bigger. Complex financial products must require a level of tangible, clearly assigned ownership by an issuing entity.

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