Comments on: Reflections on the Season http://www.constructionbusinessowner.com/blog/2009/12/michael-moore-blog/reflections-on-the-season/ Just another WordPress weblog Thu, 02 Feb 2012 19:29:15 +0000 hourly 1 http://wordpress.org/?v=3.3 By: Britt Sancen http://www.constructionbusinessowner.com/blog/2009/12/michael-moore-blog/reflections-on-the-season/#comment-1169 Britt Sancen Sat, 29 May 2010 07:10:59 +0000 http://www.constructionbusinessowner.com/blog/?p=255#comment-1169 Hi, came to this page from Google and just wanted to thank you for a very informational article. Hi, came to this page from Google and just wanted to thank you for a very informational article.

]]> By: Edward J. Dodson http://www.constructionbusinessowner.com/blog/2009/12/michael-moore-blog/reflections-on-the-season/#comment-668 Edward J. Dodson Tue, 22 Dec 2009 02:13:20 +0000 http://www.constructionbusinessowner.com/blog/?p=255#comment-668 Sadly, the current downturn in the economy -- and the construction industry -- has been a self-fulfilling outcome of long-standing destructive public policies, turned loose by the absence of effective regulatory controls and oversight (always with us but accelerated from the Reagan years to the present). Things were much simpler when I came out of college and had my first job working for a real estate finance and management firm. Then, OPEC-driven stagflation brought on the loss of clients and a layoff. No one in a position of authority and none of the economists understood how it all happened. I decided to go back to school and try to get to the bottom of what caused business cycles. None of my professors in graduate school had any answers to offer. Arthur Laffer sold Jack Kemp, who sold Ronald Reagan on supply-side tax cuts, but this strategy only moved higher disposable incomes from one form of speculative investment to another, setting the stage for a 1987 stock market crash, then the S&L crisis just a few years later. So, what did Bil Cllinton do when he got into office: he announced he was going to adopt the Eisenhower economic program. Democrats and Republicans, with Alan Greenspan heading the Fed made it possible for the financial services sector to fuel a renewed and accelerated period of property speculation. The private placement MBS market circumvented reasonable standards of creditworthiness and fraud prevention, setting the stage for the subprime (and heavily predatory) mortgage market volumes and the subsequent collapse of the firms who took on the recourse for these securities. So far, nothing coming out of Washington indicates anything has been learned. Sadly, the current downturn in the economy — and the construction industry — has been a self-fulfilling outcome of long-standing destructive public policies, turned loose by the absence of effective regulatory controls and oversight (always with us but accelerated from the Reagan years to the present). Things were much simpler when I came out of college and had my first job working for a real estate finance and management firm. Then, OPEC-driven stagflation brought on the loss of clients and a layoff. No one in a position of authority and none of the economists understood how it all happened. I decided to go back to school and try to get to the bottom of what caused business cycles. None of my professors in graduate school had any answers to offer. Arthur Laffer sold Jack Kemp, who sold Ronald Reagan on supply-side tax cuts, but this strategy only moved higher disposable incomes from one form of speculative investment to another, setting the stage for a 1987 stock market crash, then the S&L crisis just a few years later.

So, what did Bil Cllinton do when he got into office: he announced he was going to adopt the Eisenhower economic program. Democrats and Republicans, with Alan Greenspan heading the Fed made it possible for the financial services sector to fuel a renewed and accelerated period of property speculation. The private placement MBS market circumvented reasonable standards of creditworthiness and fraud prevention, setting the stage for the subprime (and heavily predatory) mortgage market volumes and the subsequent collapse of the firms who took on the recourse for these securities. So far, nothing coming out of Washington indicates anything has been learned.

]]>