Why Should Anyone Care About Losing Billions in Equity in the Collapsing Sub-prime Lenders Scam?

posted by Bill Arnett @ 12:23 PM Permalink

There has been both a fictional narrative about the strength of the American economy, as propagandized and lied about by bush economists, and the truth of our crashing economy as exposed by the collapsing sub-prime loan markets, where banks and lenders willfully and gleefully encouraged people with borderline credit to be foolish enough to take sub-prime loans destined to bankrupt the consumer when interest rates changed even slightly. It was the oldest trick in the "bait-and-switch" game and people fell for it by the millions.

Borrow low, wait for market increases to provide some equity, then sell and upgrade: the American Dream.

Except when a government, such as the bush junta, screws things up so badly that home values don't rise, the stock markets go down [even though the markets NEVER came close to the 180% growth of the Clinton administration], and America handles its finances so poorly that even the Red Chinese Communist government can instantaneously bankrupt America by initiating a sell-off of American dollars. That's what happens when one country has to borrow billions daily from another country: sooner or later the debt comes due, and if you can't pay, tough sh*t. The government selling off the securities will always come out ahead of the countries borrowing from them.

The housing market is collapsing, the stock market is still going down, unemployment is up, wages (real wages) are down, inflation is raising its ugly head, the bond markets are failing, our deficits are crushing us and affecting the world economic economy, and as soon as other countries agree to dump the dollar as their "stable currency," the American economy will collapse on a scale not seen since 1929.

But never fear, our Fearful leader just this morning lied to us again about how "strong" our economy is, so we have absolutely nothing to kvetch about, right? R-i-i-i-i-g-g-h-h-t.

Labels: Bush, corruption, Economy, flip-flops, GOP, neocons