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 Fed’s Definition Of Price Stability Is Likely Different Than Yours
On the other hand, in the Great Depression, my parents wages were cut while their bills stayed the same. Deflation, real deflation, is a recipe for disaster as well. And it is, perhaps a greater and more accute recipe for disaster.
Rethinking The Fed: More Tightening Than Priced In? Next Financial Crisis Coming Up?
I think the Fed knows what it is doing. www.talkmarkets.com/.../fed-vp-williamson-destroys-inflation-hawks
Bitcoin Markets Compared With Fiat, Gold, And Famous Billionaires
We have little inflation and people are worried about traditional currencies? Really? Why?
Tesla Model 3 Ramp May Go Faster Than Expected, But That’s Not What Matters Most
Elon Musk may prove that even genius carnival barkers can swindle a trusting investor. I hope that isn't the case, but when he sells everything at a loss you start to wonder. Nice warning article.
Do Not Hire Central Bankers To Forecast Inflation
I never thought data drove the Fed. Data is an excuse for the Fed where it benefits the Fed and ignored when it doesn't benefit the Fed. Nice article.
Why Short Sellers Won’t Recoup Their Tesla Losses
First of all, it is semi autonomous driving, not autonomous driving. Second, Musk gave a hint that the 3 won't be as good as the S. Third, if the shorts think that Musk is a con artist, why wouldn't they continue to short the stock? And fourth, electric cars are simply not that popular. People don't like them. Who wants to sit on top of a giant lithium battery?
Let Us Not Lose Our Country To Politics
One could hope these thoughts would be adopted. But really, Alan Greenspan devised a system that has doomed us to make the TBTF banks live on forever. Structured finance opposes everything that is covered eloquently in this article. The wealthy hoard money, bonds, assets, and everything that is not pinned down. And then hide their money when they reap a profit on those things.
The only reason it is not criminal is that it is written into law as being legal. It is hard to say if this system will ever be undone.
Should We Worry About Jeff Bezos's Growing Empire?
With groceries, Bezos has already shown us he is a failure by his no return policy on produce. This article is great when it comes to ebooks, but not when it comes to bananas and hamburger.
Canada’s Housing Market Hits The International Spotlight
I am amused, Prof. Please forgive me, but Canada is an empty nation. Surely they can find some land somewhere on which to build houses!
The Federal Reserve And Drug Addiction - A Prediction
The Fed still liquidates unmercifully. So, I think the Fed should be more procyclical. And the Fed should allow wages to increase more before pruning back. As long as they want to prune wages, it is hard to see how they will manage business cycles, because there won't be much of a boom, but likely difficult busts.