Last week, purely in the spirit of mischief, we brought up a sore subject: America’s largest mortgage finance companies, Fannie and Freddie. The two have so much water in their lungs it will take at least $25 billion of the public’s money to save them. Possibly $300 billion. Were it up to us, we’d leave them on the beach. But, last week, the U.S. Senate bent down and pressed its large mouth onto those gaping traps of the mortgage twins…
August 4th, 2008 | Bill Bonner | 3 comments | ContinuedAll Posts Tagged With: "consumer economy"
A Consumer Economy Doesn’t Work
The only way to reliably become wealthier is the old fashioned way - you have to spend less than you earn.
July 25th, 2008 | Bill Bonner | 0 comments | Continued
Falling Interest Rates and Increasingly Accessible Credit
Consumers are still spending money, too. And since they don’t really have any money to spend, they’re still borrowing. A report in yesterday’s news tells us that one in ten baby boomers has to borrow money just to pay everyday expenses.
May 15th, 2008 | Bill Bonner | 0 comments | Continued