Posted on 03/08/2008 5:31:18 AM PST by Travis McGee
You’ll find few people willing to admit that the current real inflation rate is around 16%, but give it 6 months and there’ll be no more doubters. The government’s statistics have been politically manipulated bullcrap for so long that they are completely unreliable measurements.
It started under the Klintoons. Manipulation of economic data for “the common good”. This whole no nonsense is akin to going on a drunken binge and finding out the tab is due after buying the house a round or two.
The discontinuation of M3 was announced in 2005, and implemented in March 2006. The lack of substance to the reasons supplied by the Federal Reserve for that action leads to speculation that the move was made in order to mask the magnitude of the inflation that is the inevitable result of holding interest rates artificially low for an extended period of time.
“Millions of Americans have been using their home equity for several years just to survive.”
Over the last few years a number of my coworkers were spending their home equity not for survival but simply to live well. Cars, swimming pools, furniture, remodels, electronics, toys, the California economy was booming and my office mates were helping it boom.
Alas, the bubble stopped and now some are worrying about economic survival. No longer can they run off to a loan broker for a credit fix each time they want to spend.
The fact that borrowed home equity isn’t free money is starting to hit home hard. One has lost three houses, a second is fighting foreclosure, and a third is running up credit card debt because her mortgage just increased $1200 per month to nearly $3k.
All of these people purchased their homes before the bubble with 30 yr fixed mortgages. If they had left their purchase loans intact none of them would be in jeopardy. All of them fell for the lure of easy money. It was like watching people get hooked on drugs.
>>Yep. She’s not waiting tables or sewing garments or loading boxes to feed her children.
What a pompous ass she was.<<
I wasn’t saying what she “should” be doing. I was saying she clearsly is not qualified to have the soapbox she had. And she is not a pompous ass. She is actually a very nice person.
Never mind. I thought you were responding to a different post.
OOPS!!!
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