Mar
29

Chris Matthews: I’m pretty surprised to learn that the mandate might be unconstitutional

"I was totally unprepared because of the way people talked."


Via Newsbusters and Ace, who points to Karl’s piece in the Greenroom as a reminder that our very open-minded friends on the left have a little echo-chamber problem of their own. Says Jay Cost: The problem for the left is that they do not have a lot of interaction with conservatives, whose intellects are often [...]

Read this post »

Mar
27

Quotes of the day

Bad day.


“‘The government had in my view as bad a day as it reasonably could have,’ said Tom Goldstein, founder of SCOTUSblog and a regular litigator at the high court. ‘It won’t cause the government to have a complete cardiac arrest — they’ll just be nauseous for months. … The only people coming out of that [...]

Read this post »

Mar
26

Principal Reduction and Strategic Default

Moral hazard, moral hazard, moral hazard....  How often have we heard that as a reason for why principal reductions can't be done.  As if it were the worst thing in the world.  

As an initial matter, we don't have to do principal reduction in a way that creates moral hazard, such as making principal reduction contingent on default and no strings attached. (To put it another way, we don't have to be stupid about the way we do principal reduction.) One solution would be principal reductions contingent on level of negative equity, not on default. Another would be to offer principal reductions only to those who have already defaulted (I don't like this because it penalizes those who kept paying, but the point is that it avoids moral hazard inducement). Another possibility would be to make principal reductions contingent upon paymentshared appreciation, which doesn't have to be a 50-50 split. Instead, it could be that initial appreciation goes all to the lender and then it starts to shift to the borrower. 

But let me suggest something counterintuitive and heterodox. Principal reduction is a case in which we WANT to encourage moral hazard. To understand why, you need to start with the understanding that our goal here is macroeconomic, not moral. The goal is stabilizing the housing market and the the economy, not balancing the moral cosmos and bringing harmony to the Force (not that there's anything wrong with that).

Making principal reduction contingent upon default means that there will be a bunch of people who default just to get the principal reduction. That's a "ruthless" group of people who are quite likely to be strategic defaulters otherwise. They are precisely the people who need to get principal reductions to incentivize them to stay in their homes in order to stabilize the market. We might not like rewarding people who would act opportunistically like this, but if you accept the issue as macroeconomic, not moral, then the results are what matter:  fewer foreclosures and a stabilized housing market.  

Mar
23

Geraldo: Blame the hoodie for Trayvon Martin shooting as much as the shooter

Guns don't kill people, hoodies do?


As a gun-rights advocate, I constantly have to remind people that guns are a tool, not an entity with motives, and that the responsibility for its use lies with the shooter. For some reason, we have an impulse after tragedies to try to blame objects rather than people, or more likely, to blame everyone else [...]

Read this post »

Mar
23

Geraldo: Blame the hoodie for Trayvon Martin shooting as much as the shooter; Update: Florida law explained

Guns don't kill people, hoodies do?


As a gun-rights advocate, I constantly have to remind people that guns are a tool, not an entity with motives, and that the responsibility for its use lies with the shooter. For some reason, we have an impulse after tragedies to try to blame objects rather than people, or more likely, to blame everyone else [...]

Read this post »

Mar
23

GSE’s to Taxpayers – We Need More Money! As They Spend $600K at MBA Convention

GSEs Spend $600K at MBA Convention Prompting OIG Review This is the third of three evaluation reports released today by the Federal Housing Finance Agency’s (FHFA) Office of Inspector General (OIG) ... Related posts:
  1. The Market Ticker – First The GSEs, Now The Monolines….
  2. Other People’s Money | Fannie and Freddie, Still the Socialites
  3. The Subtle Nationalization of the Banks and Housing Market – How the Taxpayers Support the Banks through Pseudo Nationalization – We Own the Financial Junk and the Banks Collect the Profits – The Stunning SIGTARP Report
Mar
22

Santorum: Maybe America’s better off with Obama than taking a risk on an “Etch-a-Sketch” candidate

Uh oh.


Faced with the reality that his chances have collapsed, the Sweater Vest begins to unravel: “You win by giving people a choice. You win by giving people the opportunity to see a different vision for our country, not someone who’s just going to be a little different than the person in there. If you’re going [...]

Read this post »

Mar
21

Santorum: The Ryan budget is “a great blueprint,” but it doesn’t cut enough

Gentle criticism.


Rick Santorum today gently criticized House Budget Chairman Paul Ryan’s latest budget effort — but at least it was from the right rather than the left as was Newt Gingrich’s “right-wing social engineering” criticism last year: “He’s put forward a great blueprint for people to campaign upon and shows clearly progress dramatic progress in the direction [...]

Read this post »

Mar
20

Too dumb to check: Bloomberg blocks food donations for homeless due to … salt and fat content

Endgame.


I really did think it was too dumb to check. I saw this column in the Post yesterday and passed on blogging it because I figured it’d turn out to be an exaggeration. Nope. That’s what I get for giving the benefit of the doubt to a guy who worries about people on food stamps [...]

Read this post »

Mar
19

Holder in 1995: We have to “brainwash” people against guns

Operation Fast and Furious, explained.


If you wanted to “really brainwash” people against guns, how would you go about it? Ask people to start buying anti-gun ads to combat what some might see as a pro-gun bias in entertainment (skipping MacGyver, of course). What if that didn’t work? Well, if you got a chance to be Attorney General, you might [...]

Read this post »

Mar
16

Obama in 2008: Americans need to suck it up and pay more for energy

Change!


Barack Obama has put on his public face of concern over high gas prices. Steven Chu has reversed his 2008 insistence that American gas prices needed to rise to European levels in order to make alternatives more competitive and people more desperate for them. Is any of this sincere? Morgen Richmond of the now-moribund Verum [...]

Read this post »

Mar
16

Obama in 2008: Americans need to suck it up and pay more for energy

Change!


Barack Obama has put on his public face of concern over high gas prices. Steven Chu has reversed his 2008 insistence that American gas prices needed to rise to European levels in order to make alternatives more competitive and people more desperate for them. Is any of this sincere? Morgen Richmond of the now-moribund Verum [...]

Read this post »

Mar
14

Video: Don’t ask Chris Rock about the Tea Party

Insanity.


The definition of insanity might not be doing the same thing over and over again while expecting a different result, but in attacking people when they ask you about your definition of insanity. Our friend Jason Mattera confronts comedian Chris Rock about his allegations that the Tea Party is “insane” and “racist,” and, well … [...]

View the video »

Mar
13

Read this, not that: A review of Clay Johnson’s “The Information Diet”

A fact a day keeps the doctor away.


Clay Johnson knows a thing or two about new media; he’s the founder of Blue State Digital, the firm that built and managed Barack Obama’s online campaign for the presidency in 2008. As Karl Rove reportedly once said, “Blue State Digital! You guys do great things for the wrong people!” Johnson was also the director [...]

Read this post »

Mar
13

Michelle Obama admits to 11-year-old reporter: The government shouldn’t tell people what to eat

Right. So why is it?


Michelle Obama has made Let’s Move – an anti-childhood obesity program — her signature initiative as First Lady. President’s wives often take up causes that aren’t particularly controversial and pursue non-governmental solutions to widespread personal problems, but Mrs. O has taken a decidedly political approach to her pet project, bringing considerable pressure to bear to [...]

Read this post »

Mar
13

Comment Policy Poll Results | 68% of Readers Voted in Support of Comment Policy

The people have spoken and majority rules. 68% of Readers Voted in Support of Comment Policy. We will be implementing a comment policy over the next few days. In the mean time, rule #1 is in effect. No more than two comments per post unless replying directly to another commenter. There has been some features … Read more Related posts:
  1. New Poll | Should 4closureFraud.org Implement a Comment Policy for the Site?
  2. Site Comment Policy Will Be Implemented Next Week, Violators Will Be Banned
  3. SEC Seeks Public Comment on Short Sale Disclosure
Mar
11

Let’s Make A Deal | Fraudclosure Settlement to be Filed in Federal Court on Monday? as Government Seeks Court Approval of $25 Billion Pact

Government to seek court approval of $25 billion mortgage pact (Reuters) – A previously announced $25 billion settlement between five major banks accused of abusive mortgage practices and government officials will be filed in federal court on Monday, people familiar with the matter said late Friday. The pact unveiled February 9 is expected to result … Read more Related posts:
  1. Federal Housing Finance Agency Action Regarding Court Consideration of Proposed Bank of America $8.5 Billion Settlement
  2. BofA’s $8.5 Billion Settlement Could Fall Apart After Request Made To Move Mortgage Case From State To Federal Court
  3. Brad Miller Letter to Federal Housing Finance Agency Acting Director Ed DeMarco RE BofA $8.5 Billion Settlement
Mar
10

Wisconsin recall elections something of a mess

What could possibly go wrong?


Lest we lose sight of it amid all of the presidential primary news, Wisconsin is going to hold some recall elections. The people have spoken! Petitions have been gathered and now the democratic process will play out in true blue American fashion. So… just when will we be seeing these elections take place? Even the [...]

Read this post »

Mar
09

Action Alert | SB 670 Looks to throw Everyone Out in the Streets! Even Tenants with Leases!

These people are nothing less than bank owned cronies. I thought it was bad here in Florida but this takes the cake! Not only are they slipping SB 1890 in 670, 670 states if you have a lease and it is not recorded in the public records it does not exist. Hardly ever is a … Read more Related posts:
  1. URGENT ACTION ALERT – FINAL CHANCE TO OPPOSE (UN) Fair Foreclosure Act Senate Bill 1890
  2. FraudclosureGate – First Thing We Do, Kill All The Foreclosure Defense Lawyers (Then Throw The Deadbeats Into The Streets)
  3. Action Alert | Vote on SB1890 Florida’s Foreclosure Act Tonight! Please Call and Email Reps Now!
Mar
07

It’s still on: Six more members of Congress call for Eric Holder’s resignation

Update.


Between the contraception kerfuffle and the GOP primaries, the MSM has had too much to cover to tackle the fallout from Fast and Furious, too. Just kidding. Even if nothing else were going on, you’d still hear this news from just a handful of people. The Daily Caller’s Matthew Boyle reports this morning that the [...]

Read this post »

Mar
07

WW2 vet fails voter ID test in Ohio

Disappointment


We always knew that once new voter ID laws were in place, some people were going to fail to qualify at their polling place and a predictable amount of sturm und drang would result. Well, it’s already taken place in Ohio on Super Tuesday. Had it been some person who lacked an ID card because [...]

Read this post »

Mar
05

Barbara Bush: Let’s face it, this is the worst campaign ever

Evah.


Sounds like she means it in a “I can’t believe how mean people are to the RINOs” way whereas I mean it in a “these candidates are terrible beyond my wildest imaginings” way. But let’s not quibble over petty differences. Let’s find common ground. Worst campaign evah: The 2012 presidential campaign may have eight months [...]

Read this post »

Mar
05

SB 1890 Event | Ask Florida State Senator, Chris Smith to STAND WITH THE PEOPLE, NOT THE BANKS! Tuesday, March 6th, 11:30 a.m. WPB

Ask Florida State Senator, Chris Smith (whose district includes Riviera Beach) to STAND WITH THE PEOPLE, NOT THE BANKS! (Un)Fair Foreclosure Bill (SB1890) is heading to the floor of the Senate and Chris Smith voted for it in committee. We need to remind him that he needs to stand with the people who elected him! … Read more Related posts:
  1. Yves Smith Interview | Foreclosures on People Who Never Missed a Payment
  2. Last Chance to Stop SB 1890 The Florida (UN)Fair Foreclosure Bill Before the Final Vote
  3. Dylan Ratigan & Beau Biden | State AG and Federal Government Stand-Off Over Big Banks (VIDEO)
Mar
01

Video: House Republicans remember Breitbart; Update: How Breitbart spent his last few hours

Eulogy.


Via Breitbart TV, which is posting eulogies of him as they become available. He’s one of the few people in media whom I regret not having met, partly because experiencing Hurricane Breitbart firsthand must have been a trip and partly because the blog friends we have in common obviously adored him. His public persona was [...]

View the video »

Mar
01

We the People | A Story of an American Citizen Facing Fraudclosure on Home that was Already Sold

We the People Our story is a direct reflection of how manipulative, dishonest, and out and out ruthless the Big Banks, Indiana lawyers, and Judicial system has become. They have infiltrated the very core of our Justice System, while leaving the hard working Americans to fend for themselves. When lawyers mislead, abuse, and manipulate the … Read more No related posts.
Feb
28

Experienced Robosigners Wanted | JPMorgan, BofA Strain for Qualified Staff to Clear Foreclosures

JPMorgan, BofA Strain for Qualified Staff to Clear Foreclosures JPMorgan Chase & Co. and Bank of America Corp. told regulators they were straining last year to hire and keep enough qualified people who could clear a backlog of foreclosure complaints. JPMorgan, the largest U.S. bank by assets, vowed to expand training after its review found … Read more Related posts:
  1. BofA, JPMorgan Fail to Make Fannie Mae Grade for Loan Servicing
  2. Fraudclosure | Albany County Legislators Want to Pull $90 Million Account From BofA, Discontinue Procurement Cards with JPMorgan
  3. NY Times – JPMorgan Suspends Foreclosures Amid Document Review
Feb
27

ROFL! Buffett Calls Banks “Victims” of Evicted Homeowners

The Market Ticker – ROFL! Buffett Calls Banks “Victims” Now this is one of those moments…. “Large numbers of people who have ‘lost’ their house through foreclosure have actually realized a profit because they carried out refinancings earlier that gave them cash in excess of their cost,” Buffett, chairman and chief executive officer of Berkshire … Read more Related posts:
  1. Matt Stoller | The Big Banks Win Again and Foreclosure Victims Get Little Help in Mortgage-Settlement
  2. Former FDIC Chair William M. Isaac “Very few banks had anything to do with creating the crisis and most are victims of it”
  3. JOHN L. O’BRIEN, JR. Register of Deeds Calls for Criminal Action Against the Big Banks, Says they acted like “criminal enterprise”
Feb
26

Struggling artist unhappy with reputation as would-be assassin

"Wow. Is that how people see me?"


The man who tried to kill Ronald Reagan is apparently unhappy that people tend to think of him as… the guy who tried to kill Reagan. (Hat tip: OTB) John Hinckley is still locked up in the home for the terminally confused, but his lawyers are trying to improve his situation. That means that interviews [...]

Read this post »

Feb
26

PETA: People Exterminating Thousands of Animals

Hypocrisy


Regular readers know that I’ve had a long standing beef with PETA. (Pun fully intended.) This is an organization which has taken the noble, worthy cause of helping out animals in distress and turned it into a misguided and frequently dangerous cult, frequently doing more to harm legitimate animal care initiatives than to help any [...]

Read this post »

Feb
24

NYT columnist slams Mormon garments, tells people to stay out of others’ britches

Irony.


New York Times columnist Charles Blow may be their leading purveyor of irony — of the unintentional variety.  Jim Geraghty and Hugh Hewitt both caught this missive from Blow’s Twitter feed, in which he slams Mitt Romney for his concerns over the eruption of children born out of wedlock in the past 50 years and [...]

Read this post »

Website Designed and Developed by Tampa Web Designer