How much money can the Fed print? GSE is the key word here man… you know what I am saying? The problem is that you are applying logic and free market behavior to something that is increasingly becoming subsidized in a somewhat occlusive manner. At some point, maybe long ago, maybe not long ago, I would surmise that many people realized that we were at a point of no return and then the thought processes changed. Rather then worrying about personal liability on the ledger sheets of institutions, I believe the thought processes realized that federal intervention will essentially occur because there was simply to much to lose. The complexities of this bubble were so over and above previous bubbles that it really did not matter anymore. What we are seeing is something that everyone knew would have to occur, yet nobody knew how it would manifest itself.
Again, I doubt that it will stave off the process but actually make it worse, cost alot more to the taxpayers in the long run, and convolute everything. However it will also help to provide stimulus and slow things down depending on where the market is that is being discussed. Hard to say how it will affect our market in SD… in some ways I do agree with you but in others I am not sure. I mean it is crazy for me right now. I have no clue why I should be as busy as I am but it is true. If these people had another 300k of GSE backed limits to work with for the financing which could mean an extra point or half point that would help them. My main strategy is how to keep my wife from putting me through the lets buy now ringer round 7.
FLU you didn’t have to qualify your statement and I could not agree with you more. My analogy to your statement would be if I am gonna take in in the -ss with my taxes at least uncle sam can give me a reach around right? We are in the same boat my friend so a program that will help me is at least more palatable then all those that do not.
