not sure if this has been posted before. "bennie and the feds" video http://www.youtube.com/watch?v=etfVMtCq9Oc
He is a weak and uninsightful Fed Chairman in my opinion but on the bright side he is far more intelligent than the person who appointed him. http://www.youtube.com/watch?v=A3PYsOr6ptQ&feature=related I state the Fed shoud do as follows: Up the Fed Rate by a 1/4 to 1/2 point over four to six consecutive meetings and get the lenders to work out a government backed refi program at 5% over a fixed time period with a cap on the loan amount. It won't help everybody but at least it would help stabilize this housing crisis that the last Fed magician caused. Hey Clinton... watch me pull an economy out of my... but I digress. In short - Strengthen the dollar, curb inflation, promote job growth, and let housing have a bit of a government backed buffer to shake out the bubbles in. I think Bennie and the Feds are doing just the opposite, well, with exception to some work in the home loan area that is. Anyway, thanks for posting the tune. If I could sing and play the piano, I think this would be my rendition... Bennie and the Feds... Hey kids, loose money together The Fedâs about to speak That can cause some stormy weather We'll kill the bull market tonight So stick around You're gonna see more rate cuts and watch The dollar go down. Say, George and Cheney, have you seen them yet But theyâre so spaced out, Bennie and the Feds Oh but theyâre brash and theyâre uninformed And Bennie is really weak They haven't got a clue about what to do You know I read it in news press leak Bennie and the Feds Hey kids, plug into the faithless Maybe they're all blind But Bennie makes them witless We shall survive, let us take ourselves along Where we fight for food out in the streets To find who's right and who's wrong Say, George and Cheney, have you seen them yet But theyâre so spaced out, Bennie and the Feds Oh but theyâre shy and theyâre uninformed And Bennie is really weak They haven't got a clue about what to do You know I read it in news press leak Bennie and the Feds⦠Pete
I think the fed should hold itself(the entire banking system)accountable and force these banks accountable for they're debt,,similar to the student loan law they passed which makes these students liable for life,similar to tax debt laws,instead they are trying to hold up the taxpayer after these banks have made trillions on this housing bubble which they created , a house is only worth what the bank will loan you, no loan, no sale. The banks were well aware of the risk when they made the loan, why should they not be held accountable?
I completely agree about holding the lenders responsible but caution has to be exercised not to let that slap on the wrist turn into the downfall of the monetary system. Treasuries and FDIC insured accounts are supposed to be U.S. safe havens for investors and if the government does not help to support the banking system, that trust folds up like a cheap suit, you know, like the ones Ben wears at his hearings. The trick is how to get those 'evil doers' as Bush might put it if he hadn't blown that silly phrase on another group, the lenders, to pony up some solutions instead of just waiting in the wings for a total government bailout, like the airlines did back in the early days of the Bush administration. My idea is to back only lenders that will freely refinance all of those 'creative' loans that were made at a 5% fixed rate for at least seven years and no more than a 7% cap after that for the remainder of the loan. For people who cannot afford that, well, they wouldn't be homeless like the news media touts just to get our attention for ratings, they'd simple go back to what they were before, renters. The economy needs renters, too. That's my 2-cents on the subject, but thanks to Bennie and the Fed, my opinion is worth less everyday! --------------------------- Pete