dagblog - Comments for "Mortgage Refinance: A circular firing squad."

Whatever it was, it violated

Resistance — Tue, 20 Sep 2011 09:43:08 +0000

Whatever it was, it violated the principles of free enterprise.

You think there would be some humility? Maybe they would say; "let us forgive you homeowners, of some of your debt; had it not been for your kindness we wouldn't be here today."

That's the unanswerable

Oxy Mora — Tue, 20 Sep 2011 02:18:50 +0000

In reply to Oxy, what would have happened

That's the unanswerable question. On balance I think protecting the economy from systemic failure was the right thing to do. I think where Obama should have pivoted was right after the election in 2010. I think he should have dumped Geithner right at that point and framed the mortgage problem and the bad economy as the singular problem it is.

What actually happened from the beginning of Obama's term was that the TBTF banks, by absorbing Country wide, Merrill and such, became even bigger and more difficult to downsize. Whether these acquisitions should have been encouraged instead of just letting them go into bankruptcy is the question, imo.

Oxy, what would have happened

Resistance — Tue, 20 Sep 2011 01:51:53 +0000

In reply to FHFA Director Ed DeMarco

Oxy, what would have happened if we hadn't bailed out the banks?

We would have let capitalism run it's course; right off the cliff?

Would the assets have been sold off to the highest bidder, at the courthouse steps?

That sure would have forced the haircut, wouldn't it?

FHFA Director Ed DeMarco

Oxy Mora — Mon, 19 Sep 2011 19:20:21 +0000

In reply to Mortgage Refinance: A circular firing squad.

FHFA Director Ed DeMarco further depreciated the prospects of a mortgage refinance program in remarks to a mortgage bankers' meeting and in a CNBC interview.

In direct contradiction to the concept of reducing GSE fees for refinance, DeMarco wants to increase them in order to meet the Congressional mandate, and he says, that of the Administration, to winding down the GSE' and forcing risk back into the private market.

DeMarco denied that high fees were a detriment to refinancing.

DeMarco more or less threw down the gauntlet to Congress--in effect, I'm performing my mandate the way I understand it in my fiduciary responsibilities to tax payers. If you want to change the mandate, that's a different matter.

Thus, whatever the dim prospects of a refinance program were, they are less now following his remarks.

But what if overseas is also

Resistance — Sun, 18 Sep 2011 21:55:56 +0000

In reply to Well, in Greenwich, Conn.,

But what if overseas is also lousy because of the faltering of America's economy?

South America will be the next emerging market.

Americas faltering economy will hasten the day; Americans will be begging corporations to return."Please, please come back, we'll eliminate clean air and water standards; come back. We'll lower corporate taxes; please, please come back, do whatever you want with us, just please, please come back, were begging you "

Instead of telling them , we don't need you; we'll support our own Domestic manufacturing. The UAW will have to reign in their demands though.

Of course the corporations will buy up all the new patents they can get their hands on, assuring the USA will grant them most favored status.

They'll show us, who needs who.

What the heck would we do, if the only land mass on the planet was the USA and the rest of our planet was water? Whatever should we do, if we couldn't import?

Some in this country would have us believe, forget about Healthcare and safety nets; we'd rather have Chilean cherries? Some believe, screw American workers we'd rather have cheap imports?

Well, in Greenwich, Conn.,

Oxy Mora — Sun, 18 Sep 2011 13:29:02 +0000

In reply to They'll start carrying a

Well, in Greenwich, Conn., their estates are large enough that they can jog within their own gates.

I think the financial industry types have a difficult choice if Perry is nominated. Do they really want to go down the Tea Party road in terms of the social aims and consequences of religious zealots and safety-net destroyers? I'm not so sure they will opt for such a path. After all, in a final calculation the Tea Party solution spells stagnation of our GDP with unintended consequences for the rest of the world. Many in the top tier are discounting domestic growth and investing and earning overseas. But what if overseas is also lousy because of the faltering of America's economy? Be careful what you wish for there, CNBC watchers.

They'll start carrying a

Flavius — Sun, 18 Sep 2011 12:51:06 +0000

In reply to About the banker class

They'll start carrying a pistol when they're jogging.

Jokes aside, despite being members of the class which created this crisis, as individuals investment bankers are simply............individuals. With opinions on e.g. gay rights, discrimination, capital punishment , war, even health care are probably similar to those of average dag blogger. Certainly more so than those of Joe Lunchpail.

A friend of mine in Texas

Resistance — Sun, 18 Sep 2011 06:40:35 +0000

In reply to About the banker class

A friend of mine in Texas told me Perry has his faults, but he actively sought and delivered jobs to Texans.

Yes, the pay is lower, but more mom and pops are hiring.

My friend makes sense when he says, "manufacturing jobs are not going to return to the US, when you can hire labor in South America for a dollar/ hour". (China you better look out, someones going to work cheaper?)

"America is a business" business people understand business.

I blame Clinton for opening Pandora' box, that wrought upon us, free trade.

Clinton went after the Free loaders, by giving us Free trade. US labor could no longer demand higher wages and benefits; they now had foreign competition.

MY THOUGHTS

From the business mans thinking "More free trade, less free loaders?

Mom and pops don't want higher taxes, they'd like to hire more people.

Mom and pops aren't interested in paying more in taxes in order to make more government jobs and workers.

While their foreign competitors don't have to pay the taxes. (Free Trade)

From the business mans thinking "More free trade (without taxes) eliminates free loaders living off the business mans dime. Get rid of the business mans taxes and those who want to work will be hired.

Does that make sense?

To answer your question

If Perry or Romney is nominated they will be the banker classes darlings.

From the business mans perspective; Obama wants the government to create jobs, Obama wants the government to collect more taxes to support the governments job creation plan.

Private enterprise is not interested in sucking on the government (teat) or what ever, unless you're a government contractor.

If you're a government contractor you want more government; more taxes (A democrat?)

If your a private company you want less government (less government = lower taxes) Republican

The Republican and Democratic parties, or, to be more exact, the Republican-Democratic party, represent the capitalist class in the class struggle. They are the political wings of the capitalist system and such differences as arise between them relate to spoils and not to principles. http://en.wikiquote.org/wiki/Eugene_V._Debs

The government robbing from one group in order to hand out favors to another.

Whose going to pay the taxes? Whose going to give up their spoils(treasure) to support another group.

America is a business. Someone who understands business, will be nominated.

"ALMS for the poor"

Who will pay the tax? Not the Corporations; they don't need us anymore. Thanks to Free Trade.

How does a US mom and pop operation, paying taxes, compete against the Corporation who moves overseas to avoid the taxes?

TARIFFS? ........Thats not Free Trade.

clod in a punch bowl Not to

jollyroger — Sun, 18 Sep 2011 05:05:15 +0000

In reply to If Obama fails to win the

clod in a punch bowl

Not to cavil, but I'm pretty sure the expression calls for "turd".

I haven't activated the

jollyroger — Sun, 18 Sep 2011 05:01:36 +0000

In reply to Hey, Jolly, that's a great

I haven't activated the business model yet, but it came to me when I heard some guy (on NPR) lamenting that his bank was ready to accept a short sale with a 100 k haircut built in, but wouldn't grant his plea for a modification that would have meant a principal reduction of a lesser amount.

I really do believe that if faced with the prospect of taking title post foreclosure of a shell with gaping holes where the windows and doors used to be (all legal, let me assure you) the bank will become more reasonable.

Remember, it's not extortion, it's just business...