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September 18, 2013 at 11:11 AM #20769September 18, 2013 at 1:21 PM #765567
livinincali
ParticipantDon’t worry. The bubble that nobody sees right now will get bigger and then when it pops we’ll all say nobody could have seen that coming. Especially the fed because the only thing they’ve managed to successfully do over the past 20 years is create new asset prices bubbles when the previous bubbles blow up.
September 18, 2013 at 1:27 PM #765568SK in CV
ParticipantJust for a different perspective, I think he’s done an absolutely masterful job the last 5 years keeping the economy afloat. And continues to do so, despite the lack of support of legislators.
September 18, 2013 at 2:54 PM #765570FlyerInHi
Guest[quote=SK in CV]Just for a different perspective, I think he’s done an absolutely masterful job the last 5 years keeping the economy afloat. And continues to do so, despite the lack of support of legislators.[/quote]
That’s exactly it.
Fiscal policy has actually been very counter productive.
Bernanke did quite well with the monetary tools at his disposal.
September 18, 2013 at 3:04 PM #765572spdrun
ParticipantIn case you didn’t notice, most people here don’t WANT the economy to really be afloat. Chaos == opportunity.
September 18, 2013 at 3:14 PM #765573Participant[quote=FlyerInHi][quote=SK in CV]Just for a different perspective, I think he’s done an absolutely masterful job the last 5 years keeping the economy afloat. And continues to do so, despite the lack of support of legislators.[/quote]
That’s exactly it.
Fiscal policy has actually been very counter productive.
Bernanke did quite well with the monetary tools at his disposal.[/quote]
Nobody thought Greenspan’s low interest rates policies in 2003-2006 to deal with the dot bomb were bad either at the time. It wasn’t until after the housing bubble blew up, that we looked back and said that was kind of dumb. I figure this time will be no different. When Bernanke’s successor is forced to deal with the fed’s bloated balance sheet they’ll look to point the figure at Bernanke’s stupid policies of the time. “If Bernanke wasn’t so focused on the short term we wouldn’t have to be dealing with this mess,” will be the catch phrase 5 years done the line if not sooner.
September 18, 2013 at 3:24 PM #765574Participant[quote=spdrun]In case you didn’t notice, most people here don’t WANT the economy to really be afloat. Chaos == opportunity.[/quote]
I’m not sure you = most people.
September 18, 2013 at 3:29 PM #765575ParticipantI have seen many more posts hoping for a housing correction of Bubble 2.0 than hoping for more appreciation. I happen to agree with them.
September 18, 2013 at 3:29 PM #765576Participant[quote=livinincali][quote=FlyerInHi][quote=SK in CV]Just for a different perspective, I think he’s done an absolutely masterful job the last 5 years keeping the economy afloat. And continues to do so, despite the lack of support of legislators.[/quote]
That’s exactly it.
Fiscal policy has actually been very counter productive.
Bernanke did quite well with the monetary tools at his disposal.[/quote]
Nobody thought Greenspan’s low interest rates policies in 2003-2006 to deal with the dot bomb were bad either at the time. It wasn’t until after the housing bubble blew up, that we looked back and said that was kind of dumb. I figure this time will be no different. When Bernanke’s successor is forced to deal with the fed’s bloated balance sheet they’ll look to point the figure at Bernanke’s stupid policies of the time. “If Bernanke wasn’t so focused on the short term we wouldn’t have to be dealing with this mess,” will be the catch phrase 5 years done the line if not sooner.[/quote]
I don’t think those who think that low interest rates were the main problem from 2003-2006 have a clue what they’re talking about. It wasn’t the interest rates, the genesis was the almost non-existent lending standards.
September 18, 2013 at 3:38 PM #765577Participant[quote=spdrun]I have seen many more posts hoping for a housing correction of Bubble 2.0 than hoping for more appreciation. I happen to agree with them.[/quote]
Of course you do, more than 1/2 of them have come from you. I’m not sure there is even close to a majority here who think that we’re in a bubble, much less want it to burst.
September 18, 2013 at 3:59 PM #765578ParticipantI’m just glad that prices in NJ are bouncing along the bottom. Hopefully they’ll stay that way for the next 1-2 years, so I can buy up enough foreclosures to be able to sit on my arse, collect rent, fix the occasional problem, and mostly stay on the couch, surf the Web, gain weight, and be drunk 50% of the time.
I hate working and productivity, and hope to get out of the game as soon as possible. I’m tireder in my 30s than most people are at 80, and I saw the 2008 crash as one mofo of an opportunity to be able to spend the rest of my life doing exactly what I want (i.e. as little as possible). Hope it works out for me.
September 18, 2013 at 4:25 PM #765579GuestThe loose lending standards led us the economic crisis.
Today is a much different situation. We are not in a bubble and we have a fiscal policy that is counter productive.
Bernanke said than “federal fiscal policy continues to be a restraint on growth and a source of downside risk.” Bernanke repeated his compliants about congress several times.
September 18, 2013 at 4:29 PM #765580GuestSpd, you can separate your own wishes from what’s better for the country, I hope.
Doesn’t mean that you can’t take advantage of opportunities and dislocations that you encounter. But you should want our policy makers to do what is right by all of us.
September 18, 2013 at 4:38 PM #765581Participant(a) I’m not convinced that printing more money to make necessities like housing, food, and energy (conveniently excluded from inflation metrics) more expensive is right by anyone.
(b) Even if I believed that it was right, I don’t actually care about the average American all that much, so long as I, my family, and a few close (and smart!) friends do well.September 18, 2013 at 5:13 PM #765582GuestIf you are smart, you can do well regardless.
Remember that other people doing shitty doesn’t make you do better.
I agree that if you have good secure income; and if housing is depressed, you can accumulate cash and buy more. That’s an individual situation though.
I don’t want incompetent leaders who sabotage the economy like congress is doing right now.
When there is excess capacity, the key to economic recovery is creating demand. It’s stupid to let lack of money constrain economic growth.
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