Finance, Economy, Markets, Life
Those who sold the bubble should havecleared it years ago.The policy has been one of hand it overand free massive reserves at the expenseof all savers though most saliently retirees and again those who sold the bubble and got their large proceeds thereby.The negative returns have been the armtwisting of that group.The U.S. needs risk takers, the mortgagorswere somewhat risk suckers as well (the brokers were obviously told to just lendto anyone, pretty much, as the paper wasgetting sold.)Those mortgagors should have a non-recourseregimen.Both WSJ Free Pass article per last awareness on my part(with good effort:)http://online.wsj.com/article/SB122265260912184329.htmlhttp://online.wsj.com/article/SB123336541474235541.htmlInstead of backstopping the TBTF bank loansand liabilities those banks should have seen their holding companies suck up their own losses.We've been benchmarked to 0% instead.Funny how this interview discussed Japan.Free reserves and blame gaming China amountsto turning the U.S. into Japan and Iceland ateach country's worst moment: MBS's kited through Iceland creating the carry tradethat siphoned from Japan's recovery.TBTF is synonymous with oligopoly. ObamaCare replaces in-your-face exclusionsand cherry picking with an exquisite, exacting, blanket-universal static oligopoly,complete with population milking profitstipulations but devoid of clinical rationalizationfor the greater part, except for in the highrisk exchanges, which I call "outskirts of Medicare,"which is national health insurance for customersthe insurers don't want but for which they getpaid to take some back (I'm fair and givecredit where it's due: where that's on capitation they HAVE yielded welcome efficiencies,though THEY'RE now the source of pull-the-plus on grandma related papers that are lesswelcome.)Cable is a "natural" monopoly, but theirsshould be ratched back to the stipulatedprofit-type monopoly that ObamaCare creates.Of course, transportation has been a modalmonopoly.