Seeking Alpha

User 136029

User 136029
Send Message
View as an RSS Feed
Latest  |  Highest rated
  • Geithner's False Assumption - Rebuilding Securitization Market Is Good for Economy [View article]
    Securitization is the genesis of the whole debacle. The root cause is that nobody was loaning their own money and the originators could have cared less whether the mortgages ever repaid. The misdirected incentives were earning fees and repayment was a "downstream" problem. The demise of securitization will be a good thing as this will mean that the catastrophe will never happen again. Lenders will be loaning their own money and they will be careful to not loan to deadbeats. Look at it this way,the housing price collapse will mean that lots of young people will be able to afford homes that could never afford an inflated priced home.
    Feb 15, 2009. 12:05 PM | 4 Likes Like |Link to Comment
COMMENTS STATS
1 Comment
4 Likes