After what Eugene wrote I decided to read the actual report too.
I read the executive summary, I’m not reading the 200 page report, but I read enough to see that the author of the originally linked article made a few word changes to meet their goal. If you read the blog below the article, it’s all political, very little about economics, just the generic “I hate Obama” stuff.
The guy says that we as taxpayers have a greater risk than ever before, so we should put in some rules and safeguards now otherwise we will run the risk of causing another bubble. The next time it wont be our money helping, it will be entirely our money. It makes sense. What doesn’t make sense is how his words are translated into what people are commenting on. This is starting to feel like a “Reverse Lereah.”
I’m coining a new phrase, a “Reverse Lereah” is when no matter what people say or do, regardless of the data, everything indicates further housing price declines and overall economic decline. David Lereah was the National Association of Realtors chief economist during the bubble and he was like Bagdad Bob, give him any quote or piece of data and he would tell you how that proves real estate will go up. If you read deeper you could see where he twisted or overlooked something intentionally, now I’m seeing the same behavior by doom and gloomers.
