Posted on 09/09/2011 7:36:41 AM PDT by Kaslin
“We has found the enemy, and he are us....” ERRR, who was it elected this trash?
And it targets Bernanke for criticism for what? All he said was that the Fed would try to help the economy, which is what the Fed is supposed to do.
Articles like this are a distraction from the true problems and those really responsible.
Every extra cent I get goes into precious metals. I have also been stockpiling ammo lately. I still need to get a pistol. And the garden is a top priority. My wife is starting up the canning mill. And I’m getting the bicycles into good repair.
Don’t laugh, but it is all actually a lot of fun. Maybe those Amish are on to something, when they are not flying planes into buildings, that is.
“””Federal Reserve Chairman Ben Bernanke says he is surprised by how cautious consumers have been in the two years since the recession officially ended”””
Here are some reasons people are cautious:
1. They are unsure how much ObamaCare is going to cost when it gets fully implemented or they are already seeing huge increase in their medical insurance premiums.
2. They see Obama spending billions on “green energy” projects that are going bankrupt and wonder if the craziness of spending money on money losing projects will ever stop.
3. They see Obama constantly increasing the size of government and making sure the government employee unions get bigger.
Is there any wonder people are cautious? And this is but a very short list of the concerns held by people.
Obama must go!!!!!
Is Professor Enema Ben still living in that river that flows through Cairo, Egypt? Starts with a “D” - - - ? I’ll think of it.
Anyway it might, just could be the right time to admit that THE KEYNESIAN PLAYBOOK has once again been proven wrong.
Is Professor Enema Ben still living in that river that flows through Cairo, Egypt? Starts with a “D” - - - ? I’ll think of it.
Anyway it might, just could be the right time to admit that THE KEYNESIAN PLAYBOOK has once again been proven wrong.
A few years ago, my eldest son put over $40,000 down on a $215,000 home. This was after prices started falling and he thought he had a bargain. He has a decent loan and has no problem making the payments, but now he is about a $100 grand underwater and his employer has asked him to transfer 100 miles away.
He can’t sell, refi or even rent it out for the monthly payment. He’s stuck and I’ll bet their are many in his predicament.
Sorry Danny, the article is very correct. You make a few points but have some flawed assumptions about “all he” is doing and saying.
Bernanke’s policies and misunderstanding of what motivates businesses and consumers due to his faculty lounge theoretical assessments are in fact demonstrating him to be ignorant and his policies a drag on the economy.
China is not “stealing jobs” - they are taking advantage of our own stupid regulations and taxes in the real world of supply and demand. We can’t control China. We could get our government the hell out of the way of businesses and get a sound dollar policy back in place - all of which would make China far less of a problem.
Bernanke and Gates - two Bush/Rove and Obama “triumphs”.
Tonight I’m gonna party like it’s 1963!
The article is BS. Unemployment is well past 9% and closer to 30%. “Income advances”, whatever the Hell that really means, is not going strictly to the “wealthy”. The “Middle class” is not shrinking. Consumer debt spending is at a low right now. Consumers are spending less on debt and more with cash. Why is this “unable to refinance” even an issue? Why do they need to refinance? What the author is probably saying is that they cannot get the federal government, read: Me the taxpayer, to paydown what they owe on a house.
This is all liberal tripe, nothing more.
Is California a non-recourse state?
If it is, have him explain to his situation to his boss about the reason he wants to give the keys back to the bank.
Such a decision has nothing to do with morality; it’s a financial decision. The bank knew the law permitted him to walk away at any time, and there is nothing immoral about taking advantage of the terms of a contract; and especially one written by the lender. Your son took a risk, but so did the bank.
This is why I don’t worry too much about inflation. House prices falling and interest rates falling are not compatible with inflation. However, given this idiot’s ignorance of economics (is there any evidence that he ever took an economics course?) and ability to blunder, I don’t rule it out. He makes Jimmy Carter look as statesmanlike as Bismarck.
A “sound” dollar would profit China as much or more than us. It would lower US exports and increase imports.
Wouldn’t that destroy his credit rating?
Sorry to hear about your boy’s dilemma, but it may be the least costly alternative to rent. Losses are tax deductible and depreciation on the house should run about 20Gs per year so those factors alone should cut his losses somewhat.
While I have often said you should have your head examined if you are considering being a landlord, he may have no choice. Prices will not recover for a decade as far as I can see. Have him look into IRS rules with regard to rental real estate.
Home prices are a double edged sword... they are still to expensive to sell but if they lower the asking prices that will just trigger more foreclosures as more loans are put under water and that will finish off the banks that are holding on...
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