SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: patron_anejo_por_favor who wrote (262782)7/21/2010 3:01:16 PM
From: grusumRead Replies (1) | Respond to of 306849
 
"At least that would get banks off the schneid and given them incentive to start lending. Otherwise they'll play the "borrow for free, lend to Uncle Sugar at 3%" game until the cows come home."

there can be incentives to loan or incentives not to loan. but neither should be used, because they both distort the market. right now there is incentive not to loan and it should be removed.



To: patron_anejo_por_favor who wrote (262782)7/21/2010 9:02:11 PM
From: ggershRead Replies (2) | Respond to of 306849
 
"The Fed should say "we're finished, mission accomplished" and start raising ST rates, even before they unwind their mammoth positions. At least that would get banks off the schneid and given them incentive to start lending. Otherwise they'll play the "borrow for free, lend to Uncle Sugar at 3%" game until the cows come home."

Banks won't lend for a long time as they have no capital
for the $600tril monster fire sale.


HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News