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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Latest Comments
Japanese Tightening Is A Pipe Dream
Japan really needs to get money into the hands of the people. But there is a law forbidding fiat helicopter money for the people. It would solve a lot of problems.
Trump Provides Another Event Analysis: Pandering To The Farmers
Sorry your name was associated with Peter Navarro. Sometimes you just don't know where people are heading.
US Business Cycle Risk Report - Tuesday, July 24
Pulling production forward only to be dashed later is not good policy.
The US Is Not In An Economic Boom: Midyear Update
And yet it is the consumer side that must prosper to afford to buy Made In America! Trump cannot win a trade war due to the weakness in the American consumer regarding affordability.
Whirlpool, A Tariff Supporter, Now A Tariff Victim: Dear Whirlpool
Reminds me of small towns that resist change. They want to protect local businesses until they become so overpriced that it pays to commute for goods in the big city.
Trump Needs To Understand That In A Trade War Currencies Have To Adjust
The Fed is quick on the trigger, for sure. It is basing the need to tighten on unemployment rather than on the fact that wages are weaker this time. The Fed always fears the worker. On the other hand, Trump wants the American consumer to be even weaker, with a weak dollar. With the Fed weakening wages and Trump weakening the dollar, it won't look good for buy American!
China Sends Message To America With New Fiscal Stimulus Measures: This Trade War Will Not Be Easy To Win
So with China it comes down to whether demand will also rise.
Oil: Respond In Kind
Interesting that China can ramp up demand to raise the price of oil, the very thing that Trump hates. Trump may have to empty the reserves, which would play into Iran's hands. He appears to be in way over his head.
The Swamp Unloads On Alternative Currencies
First of all, most broad money is backed by mortgages or derivatives or some security. It is created by loans, based on real things. So the money supply should not be inflationary or deflationary. So some integrity in the currency is needed. Fiat is money issued with no exchange of collateral. It has its place, like Helicopter Money, but the Fed won't do it. Finally, if Trump wanted fewer interest rate hikes, he should have not let the Goldman alum to convince him to pass a massive tax and spend. Then he would have had a much better argument.
‘I’m Not Saying It’s A Weapon’: Steve Mnuchin Warns China On Currency Manipulation As Yuan Craters
If Trump was serious about really doing tariffs he should not have done the tax cuts. Not that the currency wars would not have happened anyway, but with the big tax and spend engineered by the Goldman alum, China must think it is like taking candy from a baby to erase the tariffs with a currency war.