Ditech is Wrong…People are Stupid

Our government wastes a lot of time on the soap box about issues that really have nothing to do with solving the problem. They spend very little time solving the real problem. Housing prices are a symptom, not the problem. Executive pay was a symptom, not the problem. Madoff was a symptom, not the problem. … Read more

FED: Finance & Economics Disability or FOMC: First to Originate Make-believe Crisis

The FOMC should have left interest rates alone as the housing bubble started to burst, and let home prices fall back to historic trend-lines. Granted there may have been defaults, but they were necessary. These people didn’t deserve to be in these homes in the first place, they bought overpriced assets with no equity up … Read more

Pointless Bailout Anyway

These people don’t even know what they are trying to fix. The free markets just let the larger commercial and investment banks price default risks into the market with the lower valuations in the purchase prices. Banks and investors have both increased their leverage in the markets substantially in the past 12 odd years thinking … Read more

The problem with the current economic solutions

If Einstein were asked to solve the wrong problem, even he would come to the wrong conclusion. It is my opinion that this is what is happening to the powers that be in the U.S. Federal Reserve and Treasury. Yes, there was a housing bubble, which preceded the current economic problems, but it is NOT … Read more

Housing not the problem

Until they realize this actually stemmed from the stock bubble, and not the housing bubble ….they aren’t going to get around the problem. They will just keep rewarding those that made irrational decisions and punish those that made rational ones to stabilize overpriced markets…and the cycle continues. Over the last 8 years, this was easy … Read more