How Obama causes thge housing recession.

[Toro]

I guess Toro has no answer to his claim of Obama slowing the recovery.

Corporate executives are saying that several new policies such as healthcare reform and Dodd-Frank have increased uncertainty and thus investment and the recovery.

 

[Truthmatters]

they are partisan hacks

 

[Moonglow]

housing market is doing fine here where I live.

 

[Truthmatters]

88% of robmoneys donations are from non individuals

 

[Truthmatters]

how many big check republicans were there?

 

[The Rabbi]

housing market is doing fine here where I live.

That's because the government pays for it all.

 

[The Rabbi]

None. But we haven't seen a housing collapse like this one since The Depression either. That's to be expected.

It should be noted that the prior recession lead to the weakest recovery since The Depression prior to this one. But that too was a balance sheet recession caused by the collapse of the Tech Bubble

We had a housing collapse in 1990 as well, starting with a change in tax law in 1986.
The 2000 recession was only 8 months long. And it was marked also by a large amount of gov't intervention.
As James Grant writes in The Trouble With Prosperity, the more the gov't tries to ameliorate the effects of a recession, the worse they make the recovery. This is why this recession's recovery has been so anemic.

The 2000 recession didn't last very long because Bush wasn't in office long enough to lead the country into the worst recession since the Great Depression.

Actually it didnt last long because Bush has a GOP Congress to deal with. Things went downhill after '06 and the Dums got in power, screwing everything up. A trend they've continued.

 

[Truthmatters]

man you people will claim any stupid thing huh

 

[Moonglow]

housing market is doing fine here where I live.

That's because the government pays for it all.

no, It's not like the Kikes in Israel that get free homes because they need more soldiers to kill off kids.

 

[Truthmatters]

dear disgruntled brain cons.


The stimulus has been determined to have worked.

just lying without any proof of what you claim is not a good way to run a country

 

[Truthmatters]

housing market is doing fine here where I live.

That's because the government pays for it all.

no, It's not like the Kikes in Israel that get free homes because they need more soldiers to kill off kids.

Kikes?

really **** YOU

 

[Toro]

We had a housing collapse in 1990 as well, starting with a change in tax law in 1986.
The 2000 recession was only 8 months long. And it was marked also by a large amount of gov't intervention.
As James Grant writes in The Trouble With Prosperity, the more the gov't tries to ameliorate the effects of a recession, the worse they make the recovery. This is why this recession's recovery has been so anemic.

The 2000 recession didn't last very long because Bush wasn't in office long enough to lead the country into the worst recession since the Great Depression.

Actually it didnt last long because Bush has a GOP Congress to deal with. Things went downhill after '06 and the Dums got in power, screwing everything up. A trend they've continued.

Home prices did not go anywhere near as crazy in the 80s and 90s as they did in the 00s. The decline was nowhere near as dramatic in the 90s because valuation never got as nuts.

http://www.flickr.com/photos/8969412@N08/2732227972/lightbox/

It's not always about politics.

 

[Truthmatters]

It was a fleecing of the American middle class.

 

[Truthmatters]

I guess Toro has no answer to his claim of Obama slowing the recovery.

Corporate executives are saying that several new policies such as healthcare reform and Dodd-Frank have increased uncertainty and thus investment and the recovery.

and they have nothing to gain by claiming this?

 

[Toro]

I guess Toro has no answer to his claim of Obama slowing the recovery.

Corporate executives are saying that several new policies such as healthcare reform and Dodd-Frank have increased uncertainty and thus investment and the recovery.

and they have nothing to gain by claiming this?

It's not a conspiracy TM.

 

[JakeStarkey]

Corporatists expect to make profits in excess of output and take it out of the middle class.

They have learned how to do that since the 1980s.

 

[The Rabbi]

The 2000 recession didn't last very long because Bush wasn't in office long enough to lead the country into the worst recession since the Great Depression.

Actually it didnt last long because Bush has a GOP Congress to deal with. Things went downhill after '06 and the Dums got in power, screwing everything up. A trend they've continued.

Home prices did not go anywhere near as crazy in the 80s and 90s as they did in the 00s. The decline was nowhere near as dramatic in the 90s because valuation never got as nuts.

Case Shiller Home Prices | Flickr - Photo Sharing!

It's not always about politics.

The magnitude is not very important. What is important is what happened to correct the situation. In 1990 the gov't took over failed S&Ls and auctioned their inventories. In 2008 the gov't propped up homeowners and bailed out banks.
There's the difference right there.

 

[The Rabbi]

Corporatists expect to make profits in excess of output and take it out of the middle class.

They have learned how to do that since the 1980s.

Isnt' it a little early in the day for your 4th malt liquor?

 

[kiwiman127]

This is so true, we are in a housing depression because BO has prevented recovery by eliminating the free market in housing. Had it been allowed to work the market would have cleared long long ago and the economy would be booming now.

First off, we didn't have a housing depression. We had a credit crisis brought on by the debacle in the subprime mortgages. Rising unemployment and the banks unwillingness to make loans caused a collapse in the new housing market. This all happened before Obama took office. Allowing banks to foreclose faster would just have made the problems even worse.

Um, no.
Rising delinquencies caused banks to increase criteria. BUt that isn't the real story. The real story is as Ed outlined: beating up on the banks and offering program after program for delinquent homeowners, who defaulted at an 80% rate anyway. This kept the market from clearing.
This is unlike what the Feds did in 1990 when we had a similar housing crisis. There they auctioned units off for pennies on the dollar, clearing the market within about 18 months, and allowing prices to start rising.

Funny how folks don't mention the billions dollars worth of fines as the result of court cases that had an end result of fraud and misrepresentation by the banks. Of course, those same people who chose to ignore these facts, are the same group who don't want any attempts to prevent this from happening again via regulations and laws to happen.

 

[Toro]

Actually it didnt last long because Bush has a GOP Congress to deal with. Things went downhill after '06 and the Dums got in power, screwing everything up. A trend they've continued.

Home prices did not go anywhere near as crazy in the 80s and 90s as they did in the 00s. The decline was nowhere near as dramatic in the 90s because valuation never got as nuts.

Case Shiller Home Prices | Flickr - Photo Sharing!

It's not always about politics.

The magnitude is not very important. What is important is what happened to correct the situation. In 1990 the gov't took over failed S&Ls and auctioned their inventories. In 2008 the gov't propped up homeowners and bailed out banks.
There's the difference right there.

The magnitude is most definitely important. That's what financial market and economic history tells us. The larger the bubble, the greater the crash. It's arguable that the Housing Bubble was the biggest asset bubble in US history, given the discrepancy from intrinsic valuations and ubiquity of ownership.

Think economics and finance, not politics.