I’m trying to work this around in my head, but no luck so far. How exactly does this work? When you take a loan out and repay it back, the economy gains more money, but what happens when a lot of people default on their loans? Like…for student loans or a touch? Would it cause a touch like the subprime mortgage crisis to happen?
Investigation into gold market minipulations… 1) www.youtube.com 2) www.youtube.com
If interest rates were to drop significantly more, say 30 YR fixed to sub 3%, and a huge percentage of homeowner mortgages are refinanced, what implications does this have on the broader economy, e.g. money supply, inflation, etc?
The media does poor job in amplification how Greek debt has huge potential to hurt US economy. If Greece is bankrupt and does not pay its bills, then how is that related to economic movement of the world? Its not clear. In the likely event that Greece will continue to default and be incorrect on everything, how is US economy unnatural? And why the riots?
GloomBoomDoom.com Marc Faber, publisher of the “Gloom, Boom & Doom Report,” talks with Bloomberg’s Bernard Lo about the outlook for China’s economy and commodities prices. Faber, speaking in Hong Kong, also discusses the US economy, the debt crisis in Greece and the euro.