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

To: Mike Johnston who wrote (89893)	12/25/2007 2:52:24 PM
From: bart13	Respond to of 110194

It seems that the real crisis is a crisis in higher education. I don't know about that... they seem pretty high to me... <g>

To: Mike Johnston who wrote (89893)	12/26/2007 11:39:33 AM
From: John Vosilla	Read Replies (1) \| Respond to of 110194

'The only way the Fed could have prevented the "subprime crisis" was to have interest rates at 6% instead of 1%.' It is laughable that Greenspan claims he couldn't have prevented it.. He put the fuel to the fire that made the subsequent financial engineering possible. Approving loans on overpriced property with 1% start pay rates, accruing at 6%+ variable rates, qualifying at the low starter payment and hoping incomes would rise to cover the future higher payments and that prices would appreciate to offset the rising loan balance was destined to end in disaster..