The covert bailing out of the commercial real estate industry by the Federal Reserve. How the Fed bails out ritzy hotels and empty shopping malls on the back of taxpayer dollars.
Part of the success that the Federal Reserve has achieved with boosting up large banks stems from its secretive ability to forge shadow bailouts of residential and commercial real estate loans. The more secretive of the previous two comes from the commercial real estate (CRE) industry. During the height of the housing mania in the […]
Home on the bear market range – the United States will face a 10 to 15 year real estate bear market. Hard to believe but we are already 5 years into this economic trend. The failure of Quantitative Easing in Japan.
Can Americans cope with a 10 to 15 year bear market in real estate? On this front I have good news, and bad news. The bad news is that we are likely to face at least a 10 year bear market in real estate thanks to a lost decade in household income and the continued […]
The financial tipping point of peak debt – Total credit market debt owed increased from $28 trillion in 2001 to over $52 trillion in 2011. Household debt contracting while Fed juices up the banking sector with more debt.
At the dark heart of our financial dilemma is debt. Too much debt was used to bolster households during the real estate bubble and now too much debt is being used by the government to bail out the financial sector. Is there a tipping point in the amount of debt the American economy can shoulder? […]
Student loan shark industry – total revolving debt contracts during recession while student loan debt increases by a stunning 80 percent on an annual basis. A college degree for working at McDonald’s?
College sticker shock is probably stunning many parents as college aged students now sign their intent to register at thousands of schools across the country. You can almost feel the panic when Johnny or Suzie tells mommy and daddy she is going to University of Break the Bank while they watch their home equity plummet. […]
Low wage capitalism – Newly added jobs are coming from lower paying sectors while productivity increases and profits filter to the top of the economic class. 3,500,000 high-wage jobs lost during recession and only 179,000 have been added so far.
One of the most troubling aspects of this “recovery” is how it is being achieved. We keep hearing about the wonderful Wall Street recovery yet a large portion of this is being created by extracting productivity from workers and stifling wages. Obviously if you scare the working and middle class and give them no job […]
Casino economics and tax myths – media forgets that people pay sales, property, Social Security, and Medicare taxes. How the financial class robs from the American people legally.
As tax day passes us by, many in the public are realizing that the extremely wealthy especially in the financial industry know something they don’t. What they are finding is that the financial industry has access to massive government bailouts and in many cases does not pay their fair share of taxes. Like Atlas holding […]
Meet the new financial boss, same as the old financial boss – Commercial real estate bailout implicates Federal Reserve as Fed balance sheet balloons to $2.7 trillion. CRE values down $3 trillion from their 2008 peak.
Commercial real estate (CRE) is still benefitting from a large shadow bailout by the Federal Reserve. This isn’t some secretive move since the Fed actually publishes data on this and is available to anyone in the public with a desire to shuffle through the mounds of information. There has been virtually no media coverage on […]