One year and one month before President Obama won reelection, he invited seven of the world’s top economists to a private meeting in the Oval Office to hear their advice on what do to fix the ailing economy. “I’m not asking you to consider the political feasibility of things,” he told them in the previously unreported meeting. There was a former Federal Reserve vice chairman, a Nobel laureate, one of the world’s foremost experts on financial crises and the chief economist of the International Monetary Fund , among others. Nearly all said Obama should introduce a much bigger plan
You know why they´re sweating it, don´t you? They have been forced to keep interest rates artificially low up to election time. Now they know they need to let them rise. But if they do, the relatively housing stability they´ve engineered is going to come crashing down as even bigger wave of foreclosures sweeps the country.
They´re stuck. And they are scrambling to come up with some scheme that will get them out of it. Unfortunately, Math never sleeps.
It is a well kept secret that revenues are down at Treasury and we know that we are approaching the limit that other countries are willing or able to lend us. So, where does a socialist dictator go when it all starts unraveling? Why- to the makers , of course. They are the stingy ones who put aside money for a comfortable retirement. That´s just unfair and the takers will have to occupy the street again to get some more Social Justice!
the people who know that lending goes hand in hand with economnic growth think that by lowering rates alone, they can stimulate the economy.
While they are lowering rates, they are also strangling and castigating banks for everything that doesn´t go right. Banks realize that they have to be uber careful this time around and ARE ONLY LENDING TO PEOPLE WHO WILL PAY BACK LOANS... and most of those people, being careful as well...
A lot of these houses are underwater from people refinancing and taking cash out. They blew the money and want to government to eat that cost.It has nothing to do with crashing home values.
Appraisers were a big part of the housing crash and they were caught between a rock and a hard place. If the didn´t give generous appraisals, they were blacklisted by loan brokers,so they went along to get a check.
The real problem with the continuing mortgage crisis is the people who think they´re entitled to the house.They´ll hang in until the bitter end waiting on an Omama rescue.Sensible people walked away from their house and moved back home or whatever. They don´t get gold stars for that but at least hey recognize reality in front of their face.
Banks aren´t going to make money giving out 3% loans but they´d rather do that than face billions in lawsuits from aggrieved liberal groups.If you make a loan you suckered them in. If you don´t make the loan it´s race discrimination.They also lowered the debt ratio to get people into houses which defy simple math.
Now they want to sue because banks are doing a better job protecting houses in upscale neighborhoods than poor ones. There´s always an angle with these people.How or why would you protect a house that´s had all the wiring, plumbing and appliances stripped from it.
Obama wants to spend even more stimulus fixing these houses up and reselling them to the same type people that destroyed them.
The government tampering with the housing marketplace is the major cause. First demanding that risky borrowers be given mortgages. Now they keep coming up with schemes that only prolong the problems. They should have let the housing marketplace hit bottom in 2009. It would have been painful but by now we would be on the road to a stable, firm recovery.
This is NOT about the ability to pay mortgages; it´s about the choice/ability to spend on anything else for folks stuck with underwater home loans. If my mortgage makes my home unsellable (i.e. I would have to pay off the sale shortage in cash myself with money I do not have), or if I can no longer borrow to buy a new whatever (car, refrigerator, remodel), it translates into lost consumption in the marketplace. In other words, you can´t sell me anything and make money with your goods and services. Get the picture? Harry Homeowner has no money to spend anymore...and Billie Businesswoman isn´t selling Harry anything...so Frankie Factoryworker isn´t needed and gets laid off, just before Billie closes her small biz. Get it now? Those bailouts should have all been predicated on relieving this mess...but, NOOOO! The banks and investment houses, and the foreclosure-threatened got bailed, not the schleps that pay their debts on time to the detriment of other economic activity.
There is a tremendous crash coming to real estate, and it won´t be long in coming as inventory is still incredibly high, and there are also tons of foreclosures just hanging out there that the banks have not pursued yet. Lots of people have long ago just stopped paying, daring the lenders to do something about it.
There are a couple of generations of people who lived high on the hog using their credit cards to buy anything they wanted. They were allowed to buy houses they cold not afford, they took money out of the house as the price went up and spent every penny, they use one credit card to pay off another, the are getting college loans to subsidize their life style. They get $30,000 a year from a college loan, and take one course, and the rest of the money buys clothes and vacations. This group of people have no savings. Those who have savings will end up paying for these deadbeats´ bills. We are doomed.
The problem, once it occurs, is not going to just go away.
If you´re going to bail someone out, you can bail out the bank, or you can bail out the homeowner. And if it´s the homeowner - that is, the borrower - you can do it by allowing EVERYONE to refinance even when under water, OR you can make them not underwater anymore by forgiving principal (and *then* they can refinance).
It all stinks. The actual money is all gone, whoever sold the house last at the inflated amount, is the "winner".
But NONE of this is a problem with the economy, the problem is 10,000,000 jobs shipped to China. If you don´t fix that, there is NO solution to real estate or the economy. None. Zip. Nada. Zero.
Kentucky Republican Sen. Rand Paul is traveling to Detroit this week armed with an ambitious plan to save the bankrupt city. In an interview with The Daily Caller on Wednesday, the Kentucky Republican senator previewed his trip to Michigan, where he will present his ideas for an “economic freedom zone” to the Detroit Economic Club on Friday. Paul acknowledged his idea is similar to those of former Rep. Jack Kemp’s “enterprise zones,” which similarly used incentives to encourage private sector investment in urban areas. “What we’ve done is taken enterprise zones and really given them enterprise zones on steroids,” Paul told TheDC. The plan
Over the last couple of weeks, we’ve looked at the various polls on Barack Obama’s performance and noted the dramatic decline in approval on both policy areas and personal qualities. Today, the Washington Post’s Aaron Blake and Sean Sullivan take a look at the former, and inform readers that Obama is in much bigger trouble than just dropping below 40% overall approval: Recent polling from the Pew Research Center and Quinnipiac University has shown Obama’s approval rating on almost all major issues plunging into the 30s — below even his lowest-ever overall approval rating, which has stood around 40 percent
Australian researchers said Thursday they had established the existence of vast freshwater reserves trapped beneath the ocean floor which could sustain future generations as current sources dwindle. Lead author Vincent Post, from Australia´s Flinders University, said that an estimated 500,000 cubic kilometres (120,000 cubic miles) of low-salinity water had been found buried beneath the seabed on continental shelves off Australia, China, North America and South Africa.
Washington -- Donald Rumsfeld´s most famous quote has to do with whether there were weapons of mass destruction in Iraq. But he might as well have been a reporter talking about Obamacare. "There are known unknowns," said Rumsfeld back in February of 2002. "That is to say we know there are some things we do not know. But there are also unknown unknowns, the ones we don´t know we don´t know." When it comes to Obamacare and the frantic White House effort to right the listing website meant to bring private health insurance to the uninsured, there´s a lot more we know we
Marco Rubio’s leadership PAC is launching a six-figure ad buy for Rep. Tom Cotton (R-Ark.)’s Senate bid in Arkansas, the second time he’s aided a sitting senator or Senate candidate this year. The group, Reclaim America PAC, will put six figures into ads across Arkansas beginning Thursday that focus on Cotton’s military background. The buy was first reported by the Wall Street Journal and confirmed by POLITICO. Cotton is running to oust incumbent Democratic Sen. Mark Pryor in what’s expected to be one of the most competitive Senate races of 2014.
WASHINGTON — For the past decade, Texas has been at war with Washington. Gov. Rick Perry and Attorney General Greg Abbott have fought the federal government on health care, voting rights and environmental regulations. On spending, new programs and regulations, federal officials have been hard-pressed to find friendly ears in the Lone Star State. Now, with Perry fading from the state’s political scene, the 2014 contest for governor could determine whether Texas takes a different approach to the White House and the federal government. Abbott, the likely Republican contender for governor, promises much of the same, saying he would make
I do my fair share of carping about Washington’s “elites,” say, for their free-spending ways or their reckless adventurism abroad. That said, when I speak to family and friends back in the Heartland, I usually dissent from at least some of the common epithets thrown at the inhabitants of the Beltway who claim to govern America. “Stupid,” “dumb,” “idiots,” and sometimes “clueless” are the typical pejoratives used. From my perspective only the last one is accurate. The denizens of Washington may live in an impenetrable bubble, but they are actually quite smart, well educated, top of their class, and… clueless
I have never been much of a conspiracy theorist. For me it was always Oswald by himself from the Texas School Book Depository and nothing in the intervening fifty years has disabused me of this notion. For the most part, I’m an Occam’s Razor kind of guy — the most obvious explanation is likely to be true. (Snip) To put it bluntly, Occam’s Razor has moved. Things that were once possibilities now seem almost certainties to me. Principal among those is that Obama’s academic records are perpetually unavailable for a reason — and that reason is most likely that they reveal
One of President Obama´s chief political assets has been his ability to excite young people like almost no politician in history. But the days of America´s youth fawning over the president are over. A new Harvard University Institute of Politics poll released Wednesday confirms what other surveys have shown in recent months: Millennials have soured on Obama so much this year that their opinion of him largely mirrors the American public´s. Even though Obama does not ever have to face another election, he should be worried about the findings for a couple of reasons, which we will dive into momentarily.
President Obama will cast growing income inequality and a decline in economic mobility as a “fundamental threat to the American dream” during a speech Wednesday in Washington. The speech will serve as an early preview for next year’s State of the Union address, according to a White House official, who said Obama would focus much of his energy over the next three years on the issue. “The decisions we make over the next few years will determine whether or not our children will grow up in an America where, if you work hard, you can get ahead,” the official said.
Good stuff from Jonathan Turley at today’s House hearing on executive power, although I regret that I couldn’t find a more user-friendly format for you to watch. There’s no compilation clip; you’ll have to make do with the C-SPAN embed by fast-forwarding to the time cues I give you and being patient while the vid buffers (and buffers, and buffers).(Snip)That brings us to point two: Even if Congress can’t stop Obama, the courts can. The problem there, though, says Turley, is that O and the DOJ have argued successfully in many cases that no one has standing to sue him
A stunning new study unveiled on Fox News´ Hannity finds that President Barack Obama’s White House calendar records just one face-to-face meeting between Obama and his Health and Human Services (HHS) Secretary Kathleen Sebelius in the more than three-and-a-half years leading up to the disastrous Obamacare launch. The startling statistic comes from a new Government Accountability Institute (GAI) analysis of Obama’s own official White House calendar, as well as the Politico presidential calendar, and raises new questions about Obama’s executive leadership and management throughout the implementation of his singular legislative achievement. More alarming still, the president’s schedule lists 277 private
[Video] President Obama on Wednesday declared that addressing income inequality would be the focus of “all” of the White House’s efforts “for the rest of my presidency.” In a sweeping address that touched on raising the minimum wage, investing in infrastructure and ending tax breaks for the wealthy, Obama warned that the American economy has become “profoundly unequal,” declaring economic mobility the “challenge of our time.” “The combined trends of increasing inequality and decreasing mobility pose a fundamental threat to the American dream, our way of life, and what we stand for around the globe,” he said in an hour-long
Just over two weeks ago, MSNBC host Martin Bashir delivered a harsh piece of commentary that culminated in the suggestion that someone should “s-h-i-t” in former Alaska Governor Sarah Palin‘s (R-AK) mouth. Bashir offered an abject apology on his next broadcast, but a chorus of critics continued to demand action against the host. After a reported “vacation” for the host earlier this week, Bashir announced, Wednesday afternoon, that MSNBC and Martin Bashir are parting ways. Here’s the statement from Martin Bashir, via email: After making an on-air apology, I asked for permission to take some additional time out around the Thanksgiving holiday. Upon