Monday, September 29, 2008

My faves for the day

Selling decimates the markets; gold rallies, T-bill rates dive

“Calamity rules in markets today after the House, in a shocker, voted down the financial-system bailout bill.”

RW: Wait a minute, oh yeah, there is a market out there! Now market forces will fix the slew of internal problems efficiently without that pesky 'moral hazard' issue haunting us all.

Changes to FHA Policy Set For Oct. 1

“As part of the housing rescue bill passed this summer, the Federal Housing Administration is set to institute new regulations come October 1. The FHA will raise their minimum down payment amount to 3.5%, up from 3%. Buyers will no longer be able to seek down-payment assistance from the seller or non-profit organizations.”

RW: So the government is telling us – however implicit it may be - how much to save?

The Silent Economic Depression: Lessons from the Great Depression Part XIX: Revising the Economic Past.

“Wall Street created an addictive drug and pushed it on the American public. Now, they want to ensure the government gives them more money to funnel their debt crack on more Americans.”

US Treasury to rely on China and the Middle East to finance bailout?

“The bailout will not create any jobs. Instead, the bigger the bailout the smaller the pool of available funds for more worthwhile projects. And without jobs (real jobs not makeshift ones) there can be no recovery.”

RW: A sad truth – the $700 b plan’s lack of real economic stimulus

More extraordinary moves: $620 billion is real money, and it isn’t even for American financial institutions …

“When the current crisis ends, the regulatory structure for this global market will need to be rethought. And I would hope that the UK would also reconsider its aversion to making the investments needed to collect decent capital flows data — data that might have helped us understand the buildup of vulnerabilities in advance.”

RW: It is true. Better tracking of the cross-border TIC flows and making sense of them - especially when U.S. flows are outward and the trade deficit is rising? - would be a great place to start.

Model T Turns 100

“Ford's iconic Model T was built for the common man and began to transform the American landscape soon after it first rolled out of a Detroit factory a hundred years ago this week.”

RW: Some positive record-breaking news in the auto industry

What's the German Word for Schadenfreude?

“Meanwhile in Germany, the country's second-biggest commercial property lender has been supported by a shadowy cabal of other German institutions. It's a very European solution to financial crisis; it seems as if most institutions here don't bother to tell you what the crap they own is worth, so it shouldn't surprise that they don't bother to tell you who is saving their bacon. Hypo Real Estate's losses are being blamed on Ireland-based Depfa Bank; one wonders how the German Finance Minister will manage to blame this one on the Yanks. The market is voting with its feet; the front end of Europe, typified by the Schatz below, appears to be breaking out.”

RW: Oh, the crazy Deutsche (my husband is German, and I love to poke fun at the Germans). Macro Man is really good at it, too!

Flame War Parody #38 Water Conservation

“Peeing in the shower: Great water conservation technique, or efficient time management.”

RW: Crass, but I couldn’t keep myself from linking to this post.

Heather Locklear arrested in Calif. on DUI count

“Heather Locklear was arrested on suspicion of driving under the influence of a controlled substance in the upscale Santa Barbara area, authorities said Sunday.”

RW: Can it be? You have to click and see this picture! It brings my early-‘90s, tv-lovin’, Melrose-watchin', eyes to tears.

Rebecca Wilder


  1. The old Alfred E. Newman line applies, "What, me worry?" Thank the good Lord enough people had the good sense to vote down that bailout. Now maybe the market can get on doing, as you said, what it does best.

  2. I agree. Thanks for the Alfred E. Newman line (by the way, did you ever notice that Bush looks like him?).


  3. Bears a slight resemblance, especially the characatures. aj

  4. hahaha, Bush does look like him!

    As far as Ford goes, perhaps the F-150 would have attained the same acclaim as the Model T a 100 yrs from now (built for the hard-working man) if it wasn't for oil prices...

    I'm enjoying these "favs" posts, keep it up,