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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Two Ways Of Thinking About The Phillips Curve
The only problem iis we may run the risk of negative rates if your analysis is correct Norman.
Household Debt Service Levels Are At Historically Low Levels
Income levels compared to rent are not good according to a recent FRED blog.
Two Ways Of Thinking About The Phillips Curve
Of course. You have it right prof. Once NGDP drops, wages are suddenly too high and the immediate response by business is layoffs until the wages correct. This should be called the Sumner Curve. What do they know at Stanford anyway? In the Fall of 2008, wages were suddenly too high. You appear to have nailed the biz cycle. Whether people believe NGDP can be targeted or not, it should at least be monitored. The Fed ignored it in 2008 while inflation remained high for a time.
The Week In Cannabis: House Takes Historic Vote, New York Decriminalizes, Woman-Led Company Lists On Nasdaq, And More
She broke the grass ceiling. Too funny!
If You’re Not Watching Puerto Rico, You’re Missing A Glimpse Of The Future
Yeah, trash Puerto Rico after Congress changed the law giving the territory a financial advantage for pharma companies. After pharma left, Puerto Rico was subject to debt problems. Blame Congress first. They screwed the commonwealth.
Palo Alto Real Estate Plunges
I wonder if most of this relates to the tariff war. Tech is big in Palo Alto and needs growth in tech.
Reactive Fed, QE And Socialism
Productivity slowdown ends up lowering investment growth. All socialism is not bad. But qe is socialism for the rich. Helicopter money would improve investment because it would help demand from the consumer.
France: Negative Rates Shouldn’t Mean You Ease Up On Debt Reduction
Is the author serious? Unemployment in France is 8.8 percent. The economy is dreadful. It needs a boost. Austerity on top of massive unemployment seems doomed to further slowing of the French economy.
Stock Market Rally: You May Be Right, I May Be Crazy
Opening the Fed to rate cuts is an admission things are slow.
The Financial War Escalates
It seems like Israel and the UK look to China for future prosperity. Most other nations do as well. The US could be damaged by a slowing China.