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I have a feeling I am going to flunk this homework because when I read AG's article it kind of made sense. Please don't give me a grade.

1) On the statistics, I guess we are looking at the period 2002-2005 he mentions. I recall the fed fund rates being pretty low until 2004, so if the MORTG falls until then it should not surprise anyone. (do I get partial points?)

2) This part kind of made sense to me. However if the culprit was an excess of foreing saving flooding the US, then why didn't the $ appreciate?

3) In his article he admits that "it was indeed lower interest rates that spawned the speculative euphoria".