Sunday, April 13, 2008

A Long & Deep Recession by Professor Stiglitz (Columbia)

-Subprime problem just beginning, 2mil more foreclosures to come
-30%+ House price drop as a national average
-Real Estate brokers and industry experts too optimistic
-Zero consumer savings rate
-Banks don't know what is on there balance sheets
-States and localities tax revenues are dropping
-Very little the Fed can do, Bernanke is struggling
-US Financial system badly damaged
-The current stimulus package is couterproductive