Government Accounting and The Housing Bust and Global Crisis

There is plenty of blame to go around for the global economic crisis and the housing bubble which burst and took down the US economy. It seems we got a little bit off track. And whereas people wish to blame Wall Street, and they wish to blame the consumer for buying homes and signing mortgages they couldn't afford; perhaps, we should be blaming the government for intervening in free markets and setting the stage for the crisis in the first place. At least this has been my contention, so let's talk about it.

You see, we had this discussion at our think tank a few years back, and no one at our think tank was surprised that the real estate bubble burst, in fact we had expected it, and we were surprised it didn't happen sooner. Now then, perhaps there is information that you'd like to know on this topic, maybe you'd like to do your own research and learn exactly what the government did wrong that would lead me to believe this. Well then, there is a very good book I'd like to recommend that you read, and it is a book that I own personally and it is a book you can read in one night:

"Getting Off Track - How Government Actions and Interventions Caused, Prolonged, and Worsened The Financial Crisis" by John B. Taylor, Hoover Press, Stanford CA, (2009), 92 pages, ISBN: 978-0-8179-4971-6.

The author is a senior fellow at the Hoover institution and is also a professor of economics at Stanford University. He knows what he's talking about any trace the financial debacle through its entire course. If you are asking what caused the financial crisis the answer is in this book. If you are wondering why the crisis has been prolonged it is also in this book. If you are wondering why the crisis worsened and continues you will also find information within.

Was it really a Black Swan Event, well the debate and argument points of contention are within this work. This book is extremely well documented with charts, graphs, and information on housing price inflation, delinquency rate, and foreclosure rates. If you consider all the complications of the complexity in securitization of Fannie and Freddie, I have no doubt that you will understand what the author has to say, along with why it's hard to debate. Indeed I hope you will please consider this and think on it. If you have any comments, questions, or concerns please shoot me an e-mail.

Lance Winslow is the Founder of the Online Think Tank, a diverse group of achievers, experts, innovators, entrepreneurs, thinkers, futurists, academics, dreamers, leaders, and general all around brilliant minds. Lance Winslow hopes you've enjoyed today's discussion and topic.