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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The Blind Interviewing The Blind; Or, Bubble Time
This is why the Donald wants to crush Dodd Frank. He wants a housing bubble and easy money to be there for the insiders who depart stocks buying when stocks crash. That could put the financial crisis off until his second term, then he could ride off after the RE crash and buy bargain real estate after that market crashes.
How Tax Reform Will Net The US Big Returns
Interesting section about the pound. But as for US prosperity going forward, labor is already weak with regard to share of GDP. Hard to see where AI will positively impact that weakness at all. I don't see the tax cuts being used for much other than share buybacks, either. Why would companies improve technology when end demand is so weak? It makes no sense.
The Real Basis For These ‘Rate Hikes’
The Fed wants to be powerless. And that is where its power lies, that it can and it doesn't matter what it does to main street in the process.
Recession: When You See It, It Will Be Too Late
Great article. Weak retail and weak wages for the bottom 80 percent are big red flags.
What If Country Bonds Were Linked To GDP Growth?
Bonds as collateral are marked to market daily in derivatives clearinghouses. Their market value would likely fall in a recession as other bonds go up in price.
The Troubling Realities Of Our Energy Transition
The world cannot function without petroleum. It will be too expensive to replace fossil fuel energy, from gas to gasoline. This fragile world economy cannot sustain the author's fantasy.
Marko Kolanovic On BTFD, Trade Wars, ‘Clickbait’ And Trump Impeachment
Nobody knows for sure if Trump is a rational actor.
Goldilocks, R. I. P. (Part 2)
Larry Kudlow is a smart man with silly views. Perhaps they are scripted, or deliberate, but they certainly are unusual: www.talkmarkets.com/.../larry-kudlows-strange-views-about-inflation
Wages: Same As It Ever Was?
I think the Fed is pleased that people don't make more. Kashkari said the hawks fear wage growth.
My Leitner-Esque Moment
Fascinating article. I doubt if one would see this inversion of rates happening in a derivatives clearinghouse. Corporates are subject to haircuts. What would it take for clearinghouses to give haircuts to sovereign bonds and not to corporates? Seems kind of lunaticish. But it is interesting to think about.