Sentences with phrase «of credit bubbles»

Banks must be trusted to hold our money and transfer it electronically, but they lend it out in waves of credit bubbles with barely a fraction in reserve.

We had plenty of credit bubbles and busts before securitization come on this scene.

Many lenders have eased their requirements for auto loans, for example, says Roberts, though lending standards remain far higher than during the 2005 - 06 peak of the credit bubble.

There probably aren't any systemic consequences to the proliferation of unconstrained bond funds, except a continuation of the credit bubble and maybe a lot of unhappy investors.

Bolser said his hypothesis was that the Fed engineered the bursting of the credit bubble as Greenspan and current Federal Reserve Chairman Ben Bernanke began to raise rates, starting in June 2004 through a series of 16 rate increases, to a high of 5 percent in May 2006.

Labour did indeed create 2.5 m jobs, but it took 13 years, not 5, and were brought about at the price of a credit bubble, a housing boom, and a rise of 0.8 m jobs in the public sector — none of which will exist in the next few years.

The tech bubble crash at the turn of the century triggered an easing that directly created the housing bubble in the middle of the last decade, which then crashed, but the subsequent easing deferred the crash of the credit bubble until 2007/08.

In the short run, the powerful in society benefit from the growth of a credit bubble.

Not exact matches

The latest phase of Canada's household credit bubble, it seems, is in cars.

The deflation of the global credit bubble since 2008 has led credit - related investments to underperform US stocks.

And since the Tech Bubble, we have seen unprecedented amounts of liquidity funneled into the capital markets, and highly - levered, credit - sensitive, smaller - cap and lower - quality stocks and sectors outperformed their more liquid, larger - cap, higher - quality counterparts.

One of the arguments that I've made is that we had the mother of all housing bubbles, we had a vast erosion of credit standards, we had really easy money, we had the Bush tax cuts plus the Iraq war, and all that got us in the precrisis period was adequate growth.

So this first line of explanation stresses the factors that are common to all financial bubbles — in particular the combination of cheap credit and a general increase in the appetite for risk.

The recent stock market and real estate bubbles are much like pyramid schemes in the sense that what is bidding up stock and property prices is an exponential inflow of new money from pension plans and mutual funds (for shares) and bank credit (for real estate).

The aim of bank marketing departments — backed by the Obama administration — is to steer credit to re-inflate the bubble and thus save financial balance sheets from their current negative equity position.

The financial sector, large and small, is doing great in terms of profitability (and that's before all their goodies in the tax cuts), credit is freely flowing, and while there's always speculation afoot in financial markets, there are no large and potentially destabilizing credit bubbles.

The story of the credit crunch really began with the bursting of the last bubble.

I am not arguing that these alternative instruments will be successful in countering asset price bubbles and credit imbalances, because I think bubbles are a permanent feature of the landscape resulting from entrenched human behaviour.

Once again, there is minimal demand for autos and housing, and that is partly because the market is still saturated with both of these credit - sensitive big - ticket items after an unprecedented credit and consumer bubble that went absolutely parabolic in the seven years prior to the collapse in the financial markets an asset values.

Just as real estate lending fuels land speculation, so the withdrawal of such credit leaves property markets to decline, sometimes with a crash, as occurred in Japan after 1990 when its financial bubble burst.

MH: All bubbles are inflated by credit, and the Federal Reserve under Allan Greenspan created a huge amount of credit that was lent out to almost anybody for any purpose.

Bubbles crashing + end of cheap credit + massive credit freeze + growing distrust in unicorns + fear of the future + millions of people losing their homes +?

Japan flooded its economy with credit, lowering interest rates and fueling the world's largest real estate bubble of the 1980s.

Success in altering a growth dynamic while deflating a housing bubble and avoiding a credit crunch will be one of the key global economic events to watch over the next 12 to 24 months.

What is inter alia noteworthy here, is that all it took for the last two asset bubbles to burst (pre-bitcoin era) was a slowdown in the growth of money and credit (the two are intertwined most of the time).

These packages of high - yield debt were a major culprit behind the last credit bubble.

During the credit bubble, exploitation of consumers made the money machine run.

In 2007 something went wrong with the Ponzi racket certain big institutions had going, in which they enriched themselves at the expense of the public through an officially supported commercial credit bubble.

All to suspend the deflationary effects that followed the bursting of a cheap credit induced asset bubble that popped nearly 30 years ago.

To explain, I point out that if the Fed had done nothing in response to the bust of 2000 - 2002 then there would have been a severe recession, but the economy would probably have made a full recovery by 2004 and there would have been no mortgage - credit / housing - investment bubble and therefore no 2007 - 2008 crisis.

Repeated infusions of fresh credit have been required to keep this bubble aloft but the resulting speculation is exactly what the new policy is meant to reduce.

The chart below shows historical instances where overvalued, overbought, overbullish conditions matched current extremes, and where bubble - tolerant overlays (based on measures of market internals and credit spreads) were also unfavorable, and where the S&P 500 had established an all - time high.

Understandably so: due to the close correlation between the level of forex reserves and credit and money supply growth in China, a rapid depletion of reserves is likely to impact the country's giant credit bubble.

Nor did he note the fact that some 80 % of the tax is in land - price gains — gains that speculators made «in their sleep» while Mr. Greenspan at the Federal Reserve was flooding the real estate bubble with credit.

That competence isn't really lost, only your government has encouraged the creation of a vast financial services sector focused on the creation of toxic debt instruments linked to the real estate bubble that was itself a result of the credit expansion.

In the last few years we've had a housing bubble, a credit bubble, runaway government spending, soaring gas prices, a global recession, high unemployment, the risk of a U.S. debt default, a fiscal crisis in Europe, and the threat of severe inflation.

As you can see in the chart above, the VIX index moved steadily higher as the market approached the peak of the late 1990s technology bubble, calmed down during the steady growth period of 2003 - 2007, then spiked during the 2008 credit crisis and in the latter half of 2011.

Well, the last time Americans had a president who was psychologically «programmed» to ignore facts that didn't agree with his beliefs, the USA ended up wasting $ 1T in an illegal war to «liberate» 100's of billions of barrels of Iraqi oil (as many as 1.2 M people died in the process due to violence, disease & starvation resulting from the conflict), nearly $ 5T was added to the U.S. federal debt, a man with experience as the Judges and Stewards Commissioner for the International Arabian Horse Association was put in charge of the Federal Emergency Management Agency (FEMA), the U.S. subprime credit «bubble» expanded hugely & then imploded, wiping out some $ 14T in global wealth & destroying millions of jobs, etc..

The Big Short, an upcoming film about the housing and credit bubble that led to the financial crisis of 2007 - 08, is lining up one of the better casts in recent...

The result was a temporary worldwide credit bubble, followed by a wave of loan defaults, falling housing prices, banking losses and a dramatic tightening of bank lending.

Writer / director Adam McKay joins forces with Paramount Pictures and Plan B Entertainment to adapt Michael Lewis» best - seller The Big Short: Inside the Doomsday Machine, which centers on the housing a credit bubble of the 2000s.

When it comes to this crop of nominees, there seems to be a movement towards bigger, stronger, more popular casting and films like Adam McKay's The Big Short and Alejandro González Iñárritu's The Revenant — the former a dramatic comedy centered around the collapse of the housing and credit bubble of 2008, the latter a brooding take on life on the frontier in 19th century America — epitomize star - studded casts.

He goes as far as integrating snippets of anime, clips stylized like J - POP videos, and an opening credits sequence rife with comic book action bubbles into his scattershot visual melting pot.

Michael Lewis» non-fiction book about the collapse of the housing and credit bubble was slicked up for the big screen and the result is markedly enjoyable.

Based on the non-fiction novel by Michael Lewis «The Big Short: Inside the Doomsday Machine,» the film tells the story of the build - up of the housing and credit bubble during the 2000s that led to the discovery of mass subprime fraud and the financial crisis of 2007 - 2010.

The film centers around the world of high finance where four outsiders predict the credit and house bubble collapse of the mid-200's and decide to take on the banks for the greed they exhibited at the time.

As opening credits roll on black, the sound of a stand - up comedy routine bubbles out of the speakers.

The film tackles the build - up of the housing and credit bubble during the 2000s and failures of the financial district which lead the market to crash, which serves a gut punch to all the experts who allowed it to happen.

The Big Short is based on a true story about four outsiders in the finance who predicted the credit and housing bubble collapse of the late 2000s.

They might also want to give partial credit for getting kids to the basic level so that we don't repeat NCLB's mistake of encouraging schools to focus only on the «bubble kids» just below the proficiency cutoff.