Big Shitpile

Mike the Mad Biologist

Category archives for Big Shitpile

There’s been a lot of excellent posts debunking Standard & Poor’s recent downgrade of U.S. debt on the merits–it is poor assessment of risk. Yes, there are substantive economic arguments against S&P’s evaluation. But S&P is also fundamentally corrupt. The Coalition of the Sane must point this out too–there is an ethical dimension here, not…

Not that either the SEC or the Holder-led Justice Department would do anything about it. This happened July 21: Jack Barnes writes : Someone dropped a bomb on the bond market Thursday – a $1 billion Armageddon trade betting the United States will lose its AAA credit rating. In one moment, an invisible trader placed…

Mike Konczal is disappointed in the behavior of one of the members of the Financial Crisis Inquiry Commission (‘FCIC’), Peter Wallison, movement conservative and member of the rightwing faith tank, the American Enterprise Institute. Like many conservatives, Wallison blames the housing crisis on efforts to provide African-Americans with loans, even though, as Konczal explains, that’s…

One of the most frustrating things about Obama’s playing the role of The Great Conciliator is his belief that we should ‘look forward, not back’, that there should be no accountability for those who have failed or committed fraud. Leaving aside notions of justice (which these days is best for one’s sanity), this idiotic belief…

I haven’t talked about Big Shitpile (the housing-initiated economic collapse in a while), but this report from the Essex County Register of Deeds (Massachusetts) describes nothing less than the breakdown of the property title system in the U.S.: Yesterday at the Annual Conference of The International Association of Clerks, Recorders, Election Officials and Treasurers (IACREOT),…

The NY Times has a good article about how few prosecutions have even been attempted in the aftermath of Big Shitpile (the housing crisis and the following good times). One of the key players was Countrywide, led by CEO Chris Mozilo, which initiated so many bad loans (that were then, through financial alchemy, turned into…

The whole CDO binge (aka Big Shitpile) led to a whole slew of perverse incentives to not help a borrower who is having difficultly paying the mortgage, even though, in the era before mortgages were treated as commodities to be sold, banks routinely went out of their way to avoid foreclosure–usually the costs were too…

The Foreclosure Mess Is About the Rule of Law

Note: I wrote this before stumbling across this post which provides pretty good evidence that President Obama’s recent sale of his house was also signed by a robosigner. Brazen doesn’t even begin to describe the situation…. It’s beyond trite to state that the foreclosure crisis has had a huge effect on the economy. But I…

We Can Afford Mortgage Cramdown

So can the banks. A key impediments to economic recovery is underwater mortgages: people repay housing loans for more than the underlying property is worth. Many Dirty Fucking Hippies sane people have recommended that banks be forced to ‘cramdown’ these mortgages*. This would make the banks’ books more transparent (and probably cause some ‘zombie’ banks…

I like this guy because he makes me sound calm: Seriously, I still think our economic, media, and political betters have no idea how angry many people are about this. If a mob were to lynch a couple of these guys (note: this is evil), I think many juries would be hung.