Journal entries relating to "economy"
Monday, October 10, 2011
We wait for economic recovery, but it doesn’t come. Millions of us remain unemployed. Whole neighborhoods, street after street, are abandoned, their residents victims of foreclosure. Washington is paralyzed. But the problem isn’t ours alone. Europe is on the brink of fiscal collapse. The Chinese stock market is teetering, and the...
Sunday, November 7, 2010
The US banking system is in very serious trouble. In fact, as an institution, American banking is probably broke. The reason is incompetent management of foreclosures. Two things have gone wrong. First, banks have carried foreclosed properties at unrealistic valuations. Second, millions of titles have been thrown into uncertainty by flawed...
Thursday, March 5, 2009
When economists talk about the crash, they usually blame subprime mortgages and profligate lending by the banks. However, our financial problems are only a side-effect of the real issue, which is that, last summer, we experienced our first taste of what it is like to butt up against the limits of the earth's ability to sustain our growth.