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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Are Bernanke And Yellen Charlatans Dangling The Carrot Of Prosperity?
One additional correction. When the Fed seeks to slow growth, it historically has SOLD bonds, not buy bonds as I said in the article. It buys bonds when seeking to increase the money supply. But there are complications these days to that process as the Fed could put a damper on the real economy: qz.com/.../what-if-the-fed-cant-raise-interest-rates/
The New Offshore Center: America
So, safer in the US than in some Caribbean nation. Makes sense all other things being equal now.
Crash Testing The Tesla
I don't see that happening with Tesla. Welding is not permitted and centers have to be equiped, for a car that is a rarity.
Tesla Breaking 5-Year Support, Ripple Into Tech Stocks
Yes, articles like this great one could have an impact on Tesla as a Talkmarkets contributor raised a red flag: www.talkmarkets.com/.../crash-testing-the-tesla
The Federal Reserve Financed WW2 But Cannot Finance America Now
Yes, certainly, Barry, you wonder why the Fed is so timid nowadays. The darkest interpretation is that it is a globalist conspiracy, and the US was more useful then than now. And/or it is because the banks bet on low rates now and the Fed is bank first and economy second. I hope those are not the real meaning of this failure of the Fed to work with government to get America moving. I am convinced that the Fed does bet on low rates and that is having a huge impact on the new normal.
Gold & The Dow
Been in a jewelry store lately? Pretty slow.
Crash Testing The Tesla
I don't have a problem with the car, just the hype. If the car works, fine. The hype and costs should not be hidden.
Can Lower Oil Prices Cause A Recession?
If people really believed that oil prices would be permanently lower, there would be a benefit to the broader economy. High gasoline prices act as a tax on the average household. But people know that the prices won't stay low. So, they stay cautious.
A Relevant Liquidity Lesson For Complex Structures
The collateral was bad, but the Fed also seemed to protect the banks rather than expanding the balance sheet until the damage had already been done.
My 3 Boldest Predictions For The Market In 2016
So, in order to protect the banks, the Fed is capable of insulating those big banks. How that impacts upon the real economy is the question. The Fed literally seems to be divorced from the real economy and is only acting in the interest of the banks. What that means going forward is what I don't quite understand.