The Fed knew about the housing bubble before it burst but lied and said they didn't: Bill HR 1424 to buy bad paper (eventually called TARP) was introduced in March 9, 2007, before there began to be bad commercial paper from private subprime RE loans, in August. I have published on two other ...
more The Fed knew about the housing bubble before it burst but lied and said they didn't: Bill HR 1424 to buy bad paper (eventually called TARP) was introduced in March 9, 2007, before there began to be bad commercial paper from private subprime RE loans, in August. I have published on two other prominent financial websites, Seekingalpha.com (as Gary A) and at Businessinsider.com. I muckrake the banking system and found premeditated causes for the housing bubble and subsequent meltdown. I am married with 4 grown children.
Specialties: Impacts of politics on the economy, interpreting economists, writing about the negative impact of some aspects of globalization and pros and cons of the new normal. I don't like tariff wars. Email bgamall at gmail
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Tesla's Entire Internet Network Down: Some Use It To Unlock Or Start Their Cars
The people who buy Teslas are a little naive.
The Growth Of The World’s Middle Class May Be The Greatest Story Of Our Age
Wow, defining middle class as being able to afford a toothbrush is indeed ridiculous. So they are not in abject poverty? Must be where capital wants labor, in its place.
San Francisco Fed On The Predictive Power Of Yield Curve Spreads
They are also falling because they are in demand as collateral.
American Companies Hike Prices As Consumer Demand Soars
Housing prices are slowing. Cross currents still in play.
How Energy Shortages Really Affect The Economy
The Trump administration seeks to limit the success of China. China's economic success would profit American industry. Chinese people love American products. But perhaps Trump believes a China success would require too much energy. That is a dismal conclusion that needs a fix.
How Energy Shortages Really Affect The Economy
This is certainly one of the most interesting articles published in Talkmarkets. The Fed prunes wages. I wrote about that. But it pops bubbles at the same time. It is having difficulty popping tech inspired housing bubbles, however. Tech may be insulated from this energy story, compared to other industry. Tech makes money without the need for as much energy. And it profits off of automation.
San Francisco Fed On The Predictive Power Of Yield Curve Spreads
The Great Recession was caused by two things. It was caused by the housing bubble crash and failure of market trust, and the subsequent tightening by the Fed as GDP was declining. Inversion of a yield curve could indicate a tightening by the Fed, so it is the Fed that generally causes recessions, IMO. It attempts to control wages and may put a damper on asset inflation.
Why U.S. Stocks Hit A Record
Asset bubbles, stock bubbles, but no wage gains on Main Street. That can't end well. The only problem is that real estate is bubbling in select places. Although it seems to be spreading.
The Good, The Bad And The Pecker
With Trump's personal habits being well known, being brought down by a Mr Pecker would lead us to conclude the events of this world are not random.
Will The Next Economic Crisis Be Inflationary Or Deflationary?
Deflation is a risk that is made worse by the Fed's willingness to assist it. The new normal is where the Fed feels comfortable and it is accompanied by slow growth, lower wages and low bond yields. Add to this the asset inflation and it is a squeeze on working America.