Housing Bubble, Take 2

by Sal on September 25, 2009

in Economy,Politics

We all know that the sub-prime mortgage mess precipitated a housing bubble that got us into this economic disaster we now find ourselves in.  Yet while many are trying to convince us that the economy is recovering, further disaster looms on the horizon.  Without getting into the whole dangerous situation that the massive amount of debt created in the past year causes, it appears the housing market is not done causing trouble.  Some analysts are predicting a second, worse housing crash in the next year or two.  Over 7% of current mortgages are late (a record in August), and analysts predict 3-4 million homes being foreclosed in the next few years.  With Obama’s mortgage assistance program essentially a bust, and the government seriously running out of money, the outlook over the next few years is grim.

I honestly believe that we are going to see the failure of liberalism during this term.  While I would love to say that it would be a good thing if that were to happen, the consequences are too grave.  The policies of the last 70 years have slowly been building to this unsustainable point, and there will come a day when budget trickery and shady Fed accounting won’t be able to get us out of economic disaster, and I fear that this will happen in the next few years.  With the enormous debt, the imminent collapse of Social Security, the massive increase in government spending, and the second housing bubble burst, liberalism is going to bring our economy to its knees.  The only silver lining in all this is that liberalism as an ideology may end up being discredited for a generation or more.  I hope it doesn’t come to this, but I fear that I am right.

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The Next Shoe To Drop | Axis of Right
September 30, 2009 at 8:32 am

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