Comments on: Bernanke’s fearful asymmetry http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/ Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Soothsayer http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28391 Tue, 05 Jan 2010 23:07:23 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28391 I think he is telling the truth, but only part of it. Borrowers were lent the money because banks were playing us all for greedy suckers (which we are) knowing that when the bubble would finally pop, congress and the feds would enact policies to make them whole, while leaving homeowners upside down on their debt. In other words, they created a world where they could lock in $5 worth of sales on $2 worth of product. And what popped the bubble? Oil, intentionally.

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By: fred5407 http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28385 Tue, 05 Jan 2010 20:44:16 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28385 Now who do the Federal Reserve people work with? The banks,dumbhead. They couldn’t have been wrong, could they? Just blame someone who can’t talk back, or better, someone who has died. We don’t expect a Government man to actually take responsibility. It is kind of fun watching them fall on their fannies, isn’t it.

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By: jborrow http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28384 Tue, 05 Jan 2010 19:48:24 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28384 better version:

no no no…bernake’s a big fat liar! (so is greenspan.)

what really happened was: the 30 year fixed rate mortgage (at a reasonable interest) was put beyond the reach of ordinary borrowers! to get one of those you had to have sterling credit. for people having less than sterling credit there were adjustable rate no money down interest only balloon loans.

people are desperate for decent housing. no one wants to live in a noisy roach infested broom closet and pay ridiculous rents to viscous landlords! thus the banks have a built-in sucker market. now there are just two laws of american capitalism: (1) never give a sucker an even break and (2) there’s one born every minute!

now that you know that you should be able to see clearly that american capitalism is 100% USBS. every: ad, deal, offer, arrangement, bargain, and sale “provided” to people who are not ‘connected’ is a lie!

every time one of these balloons pops you can see this as clear as day (if only for a moment). then the liars come back to start the ball rolling again. look-out, suckers!

now, you’d think the american people would have learned this after nixon & reagan, the savings and loan crisis, and the recessions in the 70s and 80s, and the off-shoring of their jobs; but they haven’t. maybe they’re just too ‘slow’.

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By: jborrow http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28383 Tue, 05 Jan 2010 19:46:02 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28383 no no no…bernake’s a big fat liar! (so is greenspan.)

what really happened was: the 30 year fixed rate mortgage (at a reasonable interest) was put beyond the reach of ordinary borrowers! to get one of those you had to have sterling credit. for people having less than sterling credit there were adjustable rate no money down interest only balloon loans. generally lead by their noses into a profitable arrangement for banks and mortgage fixers!

people are desperate for decent housing. no one wants to live in a noisy roach infested broom closet and pay ridiculous rents to viscous landlords! thus the banks have a built-in sucker market. and there’s one born every minute!

now there are just two laws of american capitalism: (1) never give a sucker an even break and (2) there’s one born every minute!

now that you know that you should be able to see clearly that american capitalism is 100% USBS. every: ad, deal, offer, arrangement, bargain, and sale “provided” to people who are not ‘connected’ is a lie!

every time one of these balloons pops you can see this as clear as day (if only for a moment). then the liars come back to start the ball rolling again. look-out, suckers!

now, you’d think the american people would have learned this after nixon & reagan, the savings and loan crisis, and the recessions in the 70s and 80s, and the off-shoring of their jobs; but they haven’t. maybe they’re just too ‘slow’.

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By: Jonesy http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28382 Tue, 05 Jan 2010 19:43:52 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28382 “…doing nothing to pop them on the way up.”
This is an attribute of greed.
This nation has internalized and accepted the forces of greed, avarice, corruption and dishonesty; along with, incompetence and insensitivity. The Fed is the enabler.

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By: IntoTheTardis http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28380 Tue, 05 Jan 2010 19:13:02 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28380 There are two kinds of corruption in this world — the first is the petty, third world variety of bribery and graft and everyday pay-offs, and the second is the American kind. The American kind is where the powerful, the well-connected, the wealthy, and the conniving manipulate the laws and regulations of society to their benefit. It’s a take from the poor, give to the rich game.

Just look at the contemporary American landscape : fraudulent mortgages cheered on by the central bank, rampant college loan gouging, Wall Street’s manipulation of investment algorithms, tax cuts for the wealthy, tax exemptions for politically active churches, hegemonic health insurance rackets, thinly veiled protection schemes, exclusionary charter schools supported by federal dollars, federal support for the coal industry, and so on.

This is the sort of corruption the head of the FBI meant when he said that it was undermining Americans’ faith in their nation’s institutions. He was not talking about Bernie Madoff and his ilk, as bad as they are. When Madoff got caught, I simply learned not to trust Madoff. But when Greenspan and Bernanke smile on a system that wipes out peoples’ life savings, forecloses on their homes, and lays them off by the millions, whom should I mistrust? The entire Federal Reserve and regulatory system that allowed it to happen, that’s who.

There is no trust between the average American and ANY of the nation’s institutions any more. It’s gotten so bad that it has even extended to the vaunted, bloated, inept U.S. military and the intelligence apparatus that supports it. Where where they on 9-11? Why did they let bin-Laden escape? What WMD? The Iraq War. Why didn’t the generals dig in their heels and ask, WHY?

The word for the American situation is quite simple. Decline. When you no longer have the support of the people you have an ungovernable nation. Things will only get worse.

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By: voomies http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28379 Tue, 05 Jan 2010 17:28:08 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28379 US housing will continue to fall in 2010 as strategic foreclosures, currently 25% of total foreclosures, rises. Why stay in a mortgage when your neighborhood is renting at 1/3 the cost of your monthly mortgage? Read a wild California foreclosure story at http://storyburn.com

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By: JMRAG http://blogs.reuters.com/great-debate/2010/01/05/bernankes-fearful-asymmetry/#comment-28375 Tue, 05 Jan 2010 16:30:48 +0000 http://blogs.reuters.com/great-debate/?p=6141#comment-28375 Bernake and Greenspan refuse to take any responsibility. The borrowers borrowed and that’s their story and they are sticking to it. Lax regulation and that’s that.
Every student of economics knows that banks create money by lending and the Fed is responsible for money supply. Mortgage innovations were voodoo behind the fall and the Fed applauded the innovation. The banks and the triple A rated junk bonds sunk the economy. Oh yeah, and the Fed’s responsible for the health of the banking system too. I don’t remember the consumer being helped out under TARP. Stock Market crash in 1987 led by Alan Greenspan’s tight monetarypolicy. Raising interest rates in 1990 led to the recession of 1991. Raising interest rates through 2000 led to the recession of 2001. Raising interest rates 17 times in 2006 and 2007 led to the soft depression of 2008-2009. Never mind the bubbles — LBO and junkbonds in the 80’s, tech stocks in the 90’s, and housing in the 2000’s; he Fed saw them; if the economy is growing and no one appears to be getting hurt — the Fed is see no evil, speak no evil, hear no evil. There’s and old axiom in bankruptcy,the managment team that got you into trouble is not the team that will get you out of it. It is also true of economist and the Fed who can’t recognize their role and that they are the problem.

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