Gedankonomist

Housing Prices Rebounding

The reason why "owning" a home is so expensive is because of easy credit. Given the opportunity to sell themselves into debt slavery so that they can "own" a home, most Americans say, "where do I sign?" So today, if you want to own a home, more often than not, you have to become a slave. This is because demand increases as credit available increases, and the increased demand drives up the price of homes. Take away the loans and the demand decreases, and so prices drop.

You can thank the FED and the federal government for easy credit an hence high home prices. Similarly, the federal government is responsible for high tuition prices, because of increased demand due to low-interest "school loans." The government and insurance companies can also be blamed on high medical costs, for similar reasons as well: Insured people demand more medical services than those who have to pay out-of-pocket, all other considerations held constant. So what the Obamatons in the media are suggesting seems kind of silly. The government is the poison that caused the "healthcare crisis," so how is it now the cure?

[I write "own" and "owner" in quotations because after all, you don't own your home. If you don't believe me, just stop paying your rent, ahem, I mean, property tax.]


On Sep 29 02:23 PM tunaman4u2 wrote:

> Keep housing unaffordable, require higher wages to support mortgage,
> companies choose cheaper labor overseas, decreased jobs & thus
> wages in US, homes become more unaffordable.
>
> Law on unintended consequences manipulating the price of everything
> the Fed will find

Plunge Protection Team Attacks BofA: This Ends Now

Well, why do people pay millions for pretty paintings? Thousands for a bottle of champagne? They aren't useful for much. Or buy a huge oversized truck when a much smaller vehicle will do? Why do pro sports players get paid so much?

The market is what it is.

On Apr 30 12:25 PM wobatus wrote:

> It has a 5,000 year track record, but why? People accept it, but
> why? It isn't oil. It isn't wheat (perishable, but valuable).
> It isn't coal. Or a forest. Or copper. Or water.
>

Why the U.S. Prefers Quasi-Nationalization of Big Banks

By "quasi-nationalization" I'm assuming you mean it in the same way as when Germany "quasi-nationalized" IG Farben and Volkswagen back in the 1930's. Fascism. This is what this country has come to.

Positioning for Reflation

Did Hosea prophesy about the FED and it's efforts at "monentizing the deflation?"

"8:7 For they have sown the wind, and they shall reap the whirlwind"

More Outrageous than Bailout Bonuses? Nonstop Printing of Money

No doubt Congress will choose to give itself a bonus too. The hypocrites.

TARP Has Lost 40% Since Inception

Better the Federal government throw your tax money into a hole than finance things that are destructive to this country.

For example remember all the race riots back in the 1960's? Funny how they all got started shortly after Lyndon Johnson's so-called "Great Society" program. That "program" was financed with your tax money. Much of that money went to organized groups who ignited those fires.

Some Bank Behemoths Now Sub-Single Digit Midgets

"“The government has assumed almost all of the pain for itself thinking it will bring reassurance to the market."

The government did not assume the pain. You and I are the ones bending over.

I'm amazed how these academics are. They get paid 6-figure salaries at "prestigious" academic institutions, and yet they seem to know nothing.

I wonder how long it will be before enough parents realize that they can get their kids an equally good left-wing brainwashing from a school in the Caribbean, for a fraction of the price.

Then do you suppose these nit-wits will understand that perhaps NAFTA is not such a good idea? When they are subjected to the same "outsourcing" and "globalization" as the rest of us?

How Are Banks Spending Bailout Money? Anyone's Guess

Didn't Meyer Rothschild once say, "Allow me control over a nation's money supply and I care not who writes it's laws?"

This is the shadow government that Dan Smoot, Robert Welch and others have been warning you about for decades. They run the show, not the gang in the District of Criminals, and certainly not the zombies who wander into the polling booths every first Tuesday of November.