Tonight I just wanted to post this Fox Business News interview they had with Ron Paul. I have to say that this guy has been ahead of the curve on just about everything regarding the financial crisis.
One great point he makes in the interview is that we need to allow home prices to fall to their natural levels. This will allow qualified buyers to purchase homes that aren’t artificially inflated in price. If the government keeps stepping in and propping up home prices than it just keeps affordability lower for those who don’t already own homes and it prolongs the fall. (This means lower home affordability when Generation Y decides to settle down and start families. Seriously, why should we have to pay inflated housing prices?)
The other important thing Paul brings up in the interview is that all this government intervention is doing more harm than good. They keep changing the rules of the markets. The big market players (with all the capital) aren’t going to step in and start buying up assets until they know the rules of the game. The market hates uncertainty… that’s a fact. Would you go to a casino where the house can change the rules as the roulette wheel spins?
He also throws in some good points about the automakers at the end of the interview. Check it out.
Fox Business News Interview
Tonight I just wanted to post this Fox Business News interview they had with Ron Paul. I have to say that this guy has been ahead of the curve on just about everything regarding the financial crisis.
One great point he makes in the interview is that we need to allow home prices to fall to their natural levels. This will allow qualified buyers to purchase homes that aren’t artificially inflated in price. If the government keeps stepping in and propping up home prices than it just keeps affordability lower for those who don’t already own homes and it prolongs the fall. (This means lower home affordability when Generation Y decides to settle down and start families. Seriously, why should we have to pay inflated housing prices?)
The other important thing Paul brings up in the interview is that all this government intervention is doing more harm than good. They keep changing the rules of the markets. The big market players (with all the capital) aren’t going to step in and start buying up assets until they know the rules of the game. The market hates uncertainty… that’s a fact. Would you go to a casino where the house can change the rules as the roulette wheel spins?
He also throws in some good points about the automakers at the end of the interview. Check it out.