Gross favors fiscal stimulus /bailout
#1
Posted 25 August 2007 - 06:32 PM
Although I don't agree that all troubled homeowners will embrace the helping hands -- this is what we assume when we talk about bailouts -- I do agree that Fed easying and pumping might not have their usual spark in this situation.
http://www.pimco.com...tember 2007.htm
#2
Posted 25 August 2007 - 11:59 PM
#3
Posted 26 August 2007 - 02:31 AM
Edited by SandStorm, 26 August 2007 - 02:39 AM.
#5
Posted 26 August 2007 - 11:43 PM
JV
#6
Posted 27 August 2007 - 12:25 AM
#7
Posted 27 August 2007 - 09:37 AM
most of these people can't afford and don't need these bubble homes. the new taxes and insurance and the maintenance and just general responsibilty of owning and keeping up a home is too much for them. even a direct money injection will do nothing. paying their mortgages, or parts of it, for them will just prolong the market clearing.
this will take years and years to finally clear up.
Exactly. Tax, insurance, maintenance are all insane right now. ARMs reset is a gift to those troubled homeowners. It forces them to get out of a bad deal they are too stupid to do so voluntarily.
Edited by SandStorm, 27 August 2007 - 09:40 AM.