13 APR 2010, Tuesday

• That is a horrific chart!  And quite revealing all at the same time.
• Referencing the graph above, including normal levels of the past (at least 1980's levels), ask yourself the question "If the consumer is 65% of our economy, how long might it be until they reduce debt to a serviceable level at which they might be able to spend and power a true economic recovery again?"  The only spending right now is the government stimulus as people try to reduce their debt.  As the stimulus runs out...what then?
• Oh yeah, one other thing.  With the current Financial Crisis Commission going on now in Washington, many of "the smartest men in the room" (you know...the guys who were pulling down massive pay and bonuses for performance) are all claiming that no one could have ever seen the housing bubble!!?
• WTF!!!  Just look at the rate of mortgage debt increase from 2000 to 2007.  Sure seems excessive to me.  Especially considering overall debt loads which might lessen someone's disposable income to...oh, I dunno...feed themselves (always first) and then pay their mortgage?
• Something was powering the juice for that rocket ride and the regulators were asking nothing?
• The info is from government sources as you'll see in the footnote.  But I guess Congress and the Fed were happy to keep it rolling as long as they could instead of worrying about any potential blowup.
• OK...one final thing...these are the folks who want to takeover your healthcare...Trust them!