Wednesday, September 17, 2008

Economics and Wall Street

Well needless to say, banks made some really really high risk loans...can't believe a banker would do that...but they did...it's my understanding in a lot of cases, income of purchasers wasn't even verified....

But there also seems to be a deeper problem here...lots of folks who would like to own a home, don't have the income to afford it...so either real estate is way over priced or incomes are way too low....

And AIG should have been allowed to fold...it might take awhile to get over it, but they're just delaying the inevitable....and housing prices really need to come down....maybe the only way to fix it, is just to let the stilts come out from under it...there must be something out there that's better....:)

Fanny Mae and Fanny Mac...well, they've been dead horses for quite some time....