Posted on 16 June 2012.
In our modern economic age of fractional reserve banking, bank bailouts are occurring at a global level, albeit with predominant frequency in Europe and the Unites States. The ideology that a bank can be bailed out and suffer little to no consequences is a fallacy which only undermines the general economy as a whole. There […]
Posted in Economic Crisis, Gold and Silver, US Dollar Collapse
Posted on 14 June 2012.
The single most important item that the US government must protect is the US Dollar from losing its fate and confidence as the reserve currency. This reserve currency was founded on the basis that it was “as good as gold” and constituted as real money; however, this ideology is quickly being deteriorated as today’s […]
Posted in Gold and Silver, US Dollar Collapse
Posted on 01 June 2012.
The concept of a mortgage backed security (MBS) is essentially a financial derivative of a pool of mortgages. Here is a short video explaining the concept of a mortgage backed security. As the video clip explains an MBS is a multiple-packaged mortgage loans to make another security. This process is known as securitization. These mortgage-backed […]
Posted in Housing Bubble
Posted on 22 May 2012.
As mentioned in my previous post, “Effects of Low Interest Rates Part 1,” the easy monetary policies created by central banks and governments is what fuels economic booms and their consequent busts. Keynesian government intervention skews the business cycle: the creation of credit expansion undoubtedly provides growth, but this growth is now part of an […]
Posted in Gold and Silver, Housing Bubble, US Dollar Collapse
Posted on 09 May 2012.
The rise of the United States economy in the 70’s and 80’s was mainly due to Nixon’s abolished the gold standard. This event was historic as it allowed the green back to be . Although, as in history, allowing a currency to freely float in thin air will eventually cause inflation from easy monetary policies […]
Posted in US Dollar Collapse
Posted on 20 April 2012.
Canadian are at unprecedented levels of debt – 150% over average income The Key Interest Rates are at artificially low levels –1% The price of housing is at 4.5 Times average income (11x in Vancouver), higher than the historical average mean of two to there. Federal and Provincial authorities are providing very low standards for […]
Posted in Housing Bubble
Posted on 16 April 2012.
1016 East 7th Ave, Vancouver MLS® Number V930461 Listing Price: $899,000 (notice the boarded up windows!)
Posted in Housing Bubble
Posted on 10 April 2012.
From the previous post of the Canada housing bubble part 1, we showed that Canadians are stretched far beyond the limits of debt, with debt-income levels at similar levels to the United States before their housing collapse. However, the million dollar question is, for how long can this last? Before we can answer that question, […]
Posted in Housing Bubble
Posted on 08 April 2012.
Real estate in Canada in recent years has seen some attractive appreciation despite the 2008 crash of us real-estate price. This trend of higher home prices has continued, especially for western provinces of Canada. Although, higher home price has been seen in other parts of the world, most notably; China, Australia and the UK. Although, […]
Posted in Housing Bubble