Roubini: Recession for 36 Months

[FM]

http://www.cnbc.com/id/29598949

I hate CNBC, but I agree with this time line right now.

The core is the housing crisis...can't fix much else until these silly overvalues get dropped and fast. There was a lovely chart I can't find atm showing especially for 2010, '11, and tailing into '12 where next up to reset are the 5 & 7-year option ARM's (adjustable rate mortgages)....the beginnings were the subprime (1 & 3-year).

All the "bailout" money now is "fixing" (if it even really will) the current problem. The 5 & 7-years are going to make subprime seem like child's play if they don't get looked at sometime this year...which I would even venture to call would stretch this recession/problem through 2012.

[Miroslav]

Re: Roubini: Recession for 36 Months

Yeah, the timeline is probably right, and Roubini is pretty smart. This is America's second economic depression.

As for the bailout, it could have been handled a hell of a lot better... I still think it was necessary in principle, but I have serious problems with how they did it. Paulson and Bush said that it would be done "at par", or close to that. That means that we put in $100 for every $100 of assets that these institutions had. So in essence, we put in $100 and we get back $100. That's what they said they'd do. Instead, studies have shown that for every $100 we put in, we get $66 back under their deal. That means that they grossly overfunded certain institutions way above the fair value of their assets. In other words, they lied to us. They said they'd do it one way, then they quietly did it a completely different way. The process wasn't transparent, there was no oversight, and not enough equity stakes were demanded. Leave it to the Bush administration to F this up, too...it's like a financial Katrina.

[Cj Tari]

Re: Roubini: Recession for 36 Months

in 3 ....................2...........................1. ...........

[toasty]

Re: Roubini: Recession for 36 Months

in 3 ....................2...........................1. ...........

In other words, they lied to us.

Wish I could say I was surprised. I'm much more focused on unfucking things going forward than demanding prosecution for past acts, but why there aren't more people from the Bush administration doing time, I'll never understand.

[Miroslav]

Re: Roubini: Recession for 36 Months

^^ haha... well, yes, we're in for an extremely heavy recession and we know historically that war tends to follow on the heels of economic misery, one way or another... But civilization will survive and the sky won't fall.

[runningman]

Re: Roubini: Recession for 36 Months

Moody

• Advanced Micro Devices (just improved its financial picture)
• Advanstar Communications
• AGS LLC
• Allbritton Communications
• American Media Operations
• Barrington Broadcasting Group
• Blockbuster
• Cambrium Learning
• Canon Communications
• Charter Communications
• Citadel Broadcasting
• Clearwire (Wimax buildout vs. cash burn; Also new CEO)
• Conexant Systems
• Cumulus Media
• Eastman Kodak
• Emmis Communications
• Freedom Communications
• Freescale
• Global Crossing
• Gray Television
• Instant Web
• Intcomex
• Integra Telecom
• Intelsat
• Jobson Medical Information
• Level 3
• Local TV Finance
• Lodgenet Interactive
• Millennium New Jersey Holdco
• Morris Publishing Group
• Newport Television Holdings
• Nexstar Finance Holdings
• NextMedia Operating
• NV Broadcasting
• Open Solutions
• Orbitz Worldwide
• Palm (raised some cash ahead of Pre launch)
• Penton Business Media
• Quantum Corp.
• Radio One
• Reader’s Digest
• Regent Broadcasting
• Securus Technologies
• Sirius XM
• Source Interlink
• Spanish Broadcasting System
• Telcordia Technologies
• Unisys
• Univision Communications
• X-Rite Inc.

Funny that the savior won't prosecute Bush's team.