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By doing stuff like "guaranteeing" student loans, encouraging policies of buying homes with high credit, getting the Fed to lower interest rests too much (makin

by mtgx 7y ago

By doing stuff like "guaranteeing" student loans, encouraging policies of buying homes with high credit, getting the Fed to lower interest rests too much (making credit so cheap and easy companies don't even use their profits to buy/invest in stuff anymore; they even use credit to buy back their stock. Insanity), etc All of that distorts the market and makes everyone spend money they don't actually have. Eventually all of this catches up with everyone, on a country-wide scale.

_dczq 7y ago
==makes everyone spend money they don't actually have.== So much for all that personal responsibility we used to hear so much about. Far easier to blame the government for everything. Companies use credit to buy back stock because we deregulated that activity. It used to be that the government didn’t allow it. This point is actually a counter-point to your theory.