I doubt whether the sub-prime lending alone is responsible for the economic crisis. Still, it wasn't a good move in itself because there was no safety net for a massive default on sub-prime loans. Over lending is equivalent to inflating the money supply. Without a control on the growth of the money supply, we have rampant uncontrolled inflation. For example, the steady rise in the stock market index might look good for optimists, but what is causing the rise? Inflation in disguise.
Yeah and we can thank Alan "Bubbles" Greenspan for keeping the Fed rate at 1%. That sure made it tough to get money.
Did a hell of a job inflating housing prices too so we had a lot of suckers paying 400,000 for a 280,000 home. Then when it all goes boom we can blame the minorities.
Perfect. The white bread in flyover country eat this stuff up like soup.
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I doubt whether the sub-prime lending alone is responsible for the economic crisis. Still, it wasn't a good move in itself because there was no safety net for a massive default on sub-prime loans. Over lending is equivalent to inflating the money supply. Without a control on the growth of the money supply, we have rampant uncontrolled inflation. For example, the steady rise in the stock market index might look good for optimists, but what is causing the rise? Inflation in disguise.
Yeah and we can thank Alan "Bubbles" Greenspan for keeping the Fed rate at 1%. That sure made it tough to get money.
Did a hell of a job inflating housing prices too so we had a lot of suckers paying 400,000 for a 280,000 home. Then when it all goes boom we can blame the minorities.
Perfect. The white bread in flyover country eat this stuff up like soup.
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