In my column in Crikey yesterday (see below) I promised to provide some “back of the envelope” calculations on why the Paulson plan can’t work.
It’s not my usual standard or style of analysis–just a simple text-only flowchart mapping out of the possible consequences of a US$2 trillion bailout, financed by either bond issues or printing [...]
Recent Comments
- mfo in Final T-Shirts
- gaday in Final T-Shirts
- First Loan Buye… in Final T-Shirts
- angophera in Final T-Shirts
- gaday in Final T-Shirts
- slaphappy in Final T-Shirts
- gaday in Final T-Shirts
- BrightSpark1 in Final T-Shirts
- ken in Final T-Shirts
- gaday in Final T-Shirts
Debunking eBook
- Click on the image to see how to get an electronic copy of Debunking Economics for US$10.
Support My Research
- Click on the image to see how you can support my research into financial instability.
TalkFinance.net
- Great contrarian indicators
- California House Speaker Gives Aid $65,000 Raise; Aid Now Makes $190,008
- Useless Regulation: Dodd Bill "Empowers" Fed To Do Nothing
- Stupid In America; What's Wrong with the U.S. Education System?
- Icelandic Blackmail Discussion With Max Keiser and Birgitta Jonsdottir, a Member of the Icelandic Parliament
- Housing Shortage? No way!
- News ABS Lending Finance Release
- SILVER EFT’S ….. WHERE IS ALL ?
- Bankers Found Ways to Hide Debt
- China & America: The Settling Of Accounts.
- The $2 Trillion Public Pension Hole and What You Can Do About It
- 60 Second Market Wrap
- India Can Grow for Many Years
- As Supply of US Debt Goes Up, Quality of Dollars Declines
- China Buys its Own Gold
Translators
Blogroll
- 20070308: Bad debts on the rise in mortgage belt
- 20070309: Late-paid mortgages show pain in suburbs
- 20070314: LateLine on the US Sub-Prime Crisis - Video of Tom Iggulden’s report on New Century’s woes and arguments (including mine) about its relevance for Australia
- 20070314: Warning on ’silly’ loans - The Age covers the new ’shared equity loans’ being offered by Adelaide Bank and St George
- 20070317: Onward rolls the sub-prime story in the USA
- 20070725 New York Times “‘Lender Sees Mortgage Woes for ‘Good’ Risks”
- 20070725 New York Times Op Ed “‘Stopping the Subprime Crisis”
- 20070815: 7.30 Report “American mortgage shock waves hit Australia” - Profile of the Cooks case and views on the likely collapse of the mortgage market in Australia
- 20070826 New York Times: Inside the Countrywide Lending Spree - Inside the Countrywide Lending Spree
- 20070917: How bad debt infected the world - Excellent Sunday Telegraph feature on CDOs
- 7.30 Report - Many Baby Boomers will retire in debt–and I’m probably one of them!
- ABC PM on US Subprime Crisis - Stephen Long covers the USA Subprime crisis and local angles with interviews of Steve Keen, Ian Rogers (The Sheet) and David Tennant (Care ACT)
- Bear Stearns: Turmoil in sub-prime mortgages
- Beware of Exploding Mortgages (New York Times June 10 2007)
- Can the mortgage crisis swallow a town? - New York Times chilling description of the mortgage crisis’s impact on one town in Ohio
- Centre for Policy Development - The policy portal that evolved out og the New Matilda
- Credit derivatives: At the risky end of finance - The Economist on derivatives
- Debtwatch Podcast - Debtwatch’s Monthly Podcast with Stuart Cameron (www.cameronmedia.com.au)
- Debunking Economics - My Debunking Economics website. A wealth of lectures and papers, and a poverty of organisation!
- Doug Noland - Doug Noland’s Credit Bubble Bulletin: the best analysis of America’s Speculative Bubble
- First home payments hit $3000 per month
- FN Arena: Mortgage crunch in Australia too? - FN Arena covers my March Debtwatch and more optimistic (or Panglossian?) takes on the situation from Macquarie Bank, etc.
- Global House Price Crash
- House of credit cards may fall - Robert Lusetich, Los Angeles correspondent for The Australian, bemoans the nature of America
- Housing Affordability
- iTulip - One of the best commentary sites on the Internet Bubble has been reborn amid the USA’s mortgage binge
- NZ Reserve Bank on Regulation: PM May 9th 2007 - Interview on the Budget, Inflation, and New Zealand’s Reserve Bank’s shift on regulation
- Our economic managers - Non Sequitur’s brilliant take on those who think the “status quo” will last forever
- Property Knowledge Group - An interesting impartial forum on housing issues, unlike most such forums that are either bulls or bears. Holds regular public debates on the topic. Well worth attending
- RBA 2003 Conference on Asset Prices and Monetary Policy - This is an excellent set of papers on the dangers of leveraged speculation, and the capacity of the market for irrational behaviour.
- RBA Bulletin Statistical Tables - The good people at RBA Statistics have recently added a Zipped file that contains all their XLS files–many thanks!
- RBA Speech March 16th - One economic indicator not considered in Dr Edey’s presentation was the level of private debt…
- Shared Equity Loans - Well-researched article on the pitfalls of shared equity mortgages
- The New Matilda - Intelligent alternative thought on social and economic issues in Australia
- True rate of home defaults hidden - Repossessions may be four times higher than reported figures
- Two Depressions, One Banking Collapse - An excellent comparison of the 1890 to the 1930 Depression, by Chay Fisher & Christopher Kent, which shows how much more severe the 1890 downturn was for Australia, and the role of debt and housing speculation in that crisis
- US Federal Reserve Historical Statistics - I use the Zipped “tabs” files from this page; check the bottom of the page for an explanation of the data structure
- US Housing Crash Blog