Detailed market commentary at The Market Ticker
(The Year 2012 In Review)
You are not signed on; if you are a visitor please register for a free account!
|MarketTicker Forums Single Post Display (Show in context)||
User: Not logged on
|User Info||Bloomberg's Editorial On MBS Failures; entered at 2012-04-30 09:02:25|
This doesn't actually fix anything since the banks WERE lending to the market price - its just that anyone could get a loan so there was a lot of demand hence higher prices. You must still limit leverage. Every loan is an increase in the money supply, the more loans the higher prices go.