Ten who saw the meltdown coming

[SD Transplant]

Source: WBLG – The Mess that Greenspan Mad from

Finally, some common sense follow up by the British press on who forecasted the meltdown. I’ve only included the US names from their list – however, I proudly say the PIGGS should have been on this list as well 🙂

Here is the article
http://timesbusiness.typepad.com/money_weblog/2008/10/10-people-who-p.html

Here is the list of US names that forecasted the financial meltdown:

“5. Nouriel Roubini – economics professor

Aka Dr Doom, Dr Roubini is an economics professor at New York University. On September 7, 2006, at an International Monetary Fund meeting, he announced that a crisis was brewing. He said that the United States was likely to face a once-in-a-lifetime housing bust, an oil shock, sharply declining consumer confidence and, ultimately, a deep recession.

Homeowners would default on mortgages, trillions of dollars of mortgage-backed securities would unravel worldwide and the global financial system would shudder to a halt. These developments, he said, would cripple major financial institutions like Fannie Mae and Freddie Mac.

As Mr Roubini stepped down, his host said: “I think perhaps we will need a stiff drink after that.” They do now.

9. Stephen Roach – senior executive at Morgan Stanley

In November 2004, Mr Roach predicted an “economic Armageddon”, in part due to the record US current account, trade and government deficits. His outlook was largely dismissed at the time.

Having being proved right, he recently went on to accuse central banks of being “asleep at the switch” in failing to stop the escalating crisis. “The lack of monetary discipline has become a hallmark of unfettered globalization,” he said.

10. Ron Paul – Republican Congressman

Back in September 2003, Mr Paul told a House Financial Services Committee that: “Ironically, by transferring the risk of a widespread mortgage default, the government increases the likelihood of a painful crash in the housing market.

“This is because the special privileges granted to Fannie and Freddie have distorted the housing market by allowing them to attract capital they could not attract under pure market conditions.”

[Daniel]

Too bad many of the others on that list are populist politicians, lunatics or crooks (the astrologer fellow, for instance). If I were Roubini or Roach, I’m not so sure I’d be proud to be in that company. They could have come up with at least 10 respected names. Volcker, Gramlich, and even CR come to mind, and there are many, many more.

[Daniel]

Too bad many of the others on that list are populist politicians, lunatics or crooks (the astrologer fellow, for instance). If I were Roubini or Roach, I’m not so sure I’d be proud to be in that company. They could have come up with at least 10 respected names. Volcker, Gramlich, and even CR come to mind, and there are many, many more.

[Daniel]

Too bad many of the others on that list are populist politicians, lunatics or crooks (the astrologer fellow, for instance). If I were Roubini or Roach, I’m not so sure I’d be proud to be in that company. They could have come up with at least 10 respected names. Volcker, Gramlich, and even CR come to mind, and there are many, many more.

[Daniel]

Too bad many of the others on that list are populist politicians, lunatics or crooks (the astrologer fellow, for instance). If I were Roubini or Roach, I’m not so sure I’d be proud to be in that company. They could have come up with at least 10 respected names. Volcker, Gramlich, and even CR come to mind, and there are many, many more.

[Daniel]

Too bad many of the others on that list are populist politicians, lunatics or crooks (the astrologer fellow, for instance). If I were Roubini or Roach, I’m not so sure I’d be proud to be in that company. They could have come up with at least 10 respected names. Volcker, Gramlich, and even CR come to mind, and there are many, many more.

[Daniel]

Oh, and Krugman, of course… A Nobel prize winner would be a better pick than a Marxist economist who died in 1938 🙂

I’m amazed Nostradamus didn’t make the list, though…

[Daniel]

Oh, and Krugman, of course… A Nobel prize winner would be a better pick than a Marxist economist who died in 1938 🙂

I’m amazed Nostradamus didn’t make the list, though…

[Daniel]

Oh, and Krugman, of course… A Nobel prize winner would be a better pick than a Marxist economist who died in 1938 🙂

I’m amazed Nostradamus didn’t make the list, though…

[Daniel]

Oh, and Krugman, of course… A Nobel prize winner would be a better pick than a Marxist economist who died in 1938 🙂

I’m amazed Nostradamus didn’t make the list, though…

[Daniel]

Oh, and Krugman, of course… A Nobel prize winner would be a better pick than a Marxist economist who died in 1938 🙂

I’m amazed Nostradamus didn’t make the list, though…

[Deserted]

Not just the Piggs saw it coming.

Sorry I lost the recent, more comprehensive, news wire story — but here’s a good contemporaneous summary of how the Federal Government actively fought (and won!) the battle against mortgage oversight. The States of Georgia and Iowa, and the Mayor of Cleveland (and others) brought suits to halt the predatory and fraudulent mortgage industry beginning in 2003. Your Federal Government successfully argued that preemption prevented any useful oversight by State or local government.

When the true history of this truly disgusting period in American government is revealed, only the strongest among us will be able to read it without vomiting.

http://www.docmagic.com/compliance/wizard/2004/april-2004/preemption-rules

By the way, I make these predictions: I predict market gains, losses, and unexpected events. I predict an unending line of “experts” paraded on the media to tell you why something already happened.

[Deserted]

Not just the Piggs saw it coming.

Sorry I lost the recent, more comprehensive, news wire story — but here’s a good contemporaneous summary of how the Federal Government actively fought (and won!) the battle against mortgage oversight. The States of Georgia and Iowa, and the Mayor of Cleveland (and others) brought suits to halt the predatory and fraudulent mortgage industry beginning in 2003. Your Federal Government successfully argued that preemption prevented any useful oversight by State or local government.

When the true history of this truly disgusting period in American government is revealed, only the strongest among us will be able to read it without vomiting.

http://www.docmagic.com/compliance/wizard/2004/april-2004/preemption-rules

By the way, I make these predictions: I predict market gains, losses, and unexpected events. I predict an unending line of “experts” paraded on the media to tell you why something already happened.

[Deserted]

Not just the Piggs saw it coming.

Sorry I lost the recent, more comprehensive, news wire story — but here’s a good contemporaneous summary of how the Federal Government actively fought (and won!) the battle against mortgage oversight. The States of Georgia and Iowa, and the Mayor of Cleveland (and others) brought suits to halt the predatory and fraudulent mortgage industry beginning in 2003. Your Federal Government successfully argued that preemption prevented any useful oversight by State or local government.

When the true history of this truly disgusting period in American government is revealed, only the strongest among us will be able to read it without vomiting.

http://www.docmagic.com/compliance/wizard/2004/april-2004/preemption-rules

By the way, I make these predictions: I predict market gains, losses, and unexpected events. I predict an unending line of “experts” paraded on the media to tell you why something already happened.

[Deserted]

Not just the Piggs saw it coming.

Sorry I lost the recent, more comprehensive, news wire story — but here’s a good contemporaneous summary of how the Federal Government actively fought (and won!) the battle against mortgage oversight. The States of Georgia and Iowa, and the Mayor of Cleveland (and others) brought suits to halt the predatory and fraudulent mortgage industry beginning in 2003. Your Federal Government successfully argued that preemption prevented any useful oversight by State or local government.

When the true history of this truly disgusting period in American government is revealed, only the strongest among us will be able to read it without vomiting.

http://www.docmagic.com/compliance/wizard/2004/april-2004/preemption-rules

By the way, I make these predictions: I predict market gains, losses, and unexpected events. I predict an unending line of “experts” paraded on the media to tell you why something already happened.

[Author]

Posts