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

To: Elroy Jetson who wrote (101237)	2/12/2009 7:36:20 PM
From: Hawkmoon	1 Recommendation Respond to of 110194

It resulted in the economic depression they call their "Lost Decade" with large numbers of homeless people. Large numbers? Maybe for Japan, but hardly large in comparison to other nations. They recently predicted maybe 6,000 homeless individuals in Tokyo, a city of nearly 12 million. buzzle.com france24.com Compare that to NYC where there are nearly 9,000 homeless FAMILIES (not just one person)... But back to your point about servicing debt being worse than just letting it default with the resulting massive destruction of money supply, failed banks, and loss of wealth minus the $250,000 in FDIC deposits the taxpayer will be on the hook for. Bad loans are one thing, but there were plenty of people who were servicing their debt, but now face the incentive to walk away because we're permitting this endless cycle of deflationary waves to occur (facilitated by mark to market accounting on mortgages backed instruments). I want to see some investment in long-term productivity enhancing programs, training and employing people to fulfill them. Make work programs might be alright in the short-run, but if we're going to spend taxpayer money and go further into the hole, it had better be for something that makes us more competitive. Hawk