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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: patron_anejo_por_favor who wrote (15827)	6/24/2004 8:24:07 PM
From: NOW	Respond to of 110194

Great post patron. Same as it ever was. wealth transfer mechanism in overdrive. Only way this will end is if the peasants revolt, and that aint about to happen....

To: patron_anejo_por_favor who wrote (15827)	6/24/2004 11:12:34 PM
From: ild	Read Replies (2) \| Respond to of 110194

<<<vast majority of the loans are sold to FNM >>> What about jumbo loans? Most houses in bubble areas have to be financed with jumbo loans.

To: patron_anejo_por_favor who wrote (15827)	6/24/2004 11:41:59 PM
From: benwood	Read Replies (1) \| Respond to of 110194

"So the benefits are privatized and the liabilities are socialized to the greatest extent possible." Haim, excellent summary of the prevalent trends. Oddly, the more uncertainty they inject into the system via the wealth transfer process and wreckless socialization of risk, the greater the pressure to privatize the remaining benefits, thus accelerating the wealth transfer/death spiral.