cedit crunch over: the keynsians were right, page-8

I think most here would agree with me that prevention is better than cure. With that it would have been much better had they not ever loaned out easy credit to unproductive individuals. But they did and now we, the public, have to help them out with inflation. What would I rather? The prospect of loosing my job or face inflation? For now I'll take inflation, as I'm in the market to ride the wave.

But to go over what I said, it would have been better if the lenders just said no where required. Had I (MR Tightass) been running the show over there I would have insisted on a minimum 25% deposit for home loans at a maximum of 20 year repayment, based on no more than 1 and 1/2 person wages. What did we end up with over here? At the peak I heard such incredible stories where loans were so big they had penned in that the kids will take over the loans as the parents retire! Stuff that. It's crazy sh_t like that wrecks individuals and eventually the economy.

Slow and steady Mr Governments. No more false illusions. In the 70's and 80's when you saw a family with a nice house, car, boat, with frequent overseas trips there was no question that they were wealthy. Today you don't know who's got what. Today everyone is driving cars that nobody can ever pay cash for or take out a personal loan for. It's all put onto the mortgage with the house. Just crazy man. Let's get it back to reality. If the economy has to slow so be it, just be realistic with the loans.

Anyway I think the worst of the crisis is over as well, but America will never be the brilliant star it was in its hey days - absolutely no way! Its days of easy money with high purchasing power of their dollar is almost over. They cannot keep bailing out everything. They must give the people jobs and groth for the future. But that cannot go on when they can buy cheaper items from Walmart sourced from China. America will put up tariffs to stem the onslaught of cheap goods, but that will cause an inflation spike that would have a counter effect on the economic recovery. So even though the recovery is on its way I don't believe Aemerica will ever be the same. Till now they've had their too good to be true cake (cheap Chinese goods) believing they could go on forever without ever worrying about jobs losses.
The money is there - it will never go away - it's still of great value and for now the quantitative easing will be very, very effective. It's only when it becomes of little value will it hit the fan - eventually that will happen unless a major and radical rethink takes place with the unions, the workers, the consumers and the government.