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He's the bad guy of the story because he's a billionaire who made a $1.1Gb at the expense of the ordinary people living in the UK at the time. He forced mortgag
by astoor 5y ago
He's the bad guy of the story because he's a billionaire who made a $1.1Gb at the expense of the ordinary people living in the UK at the time. He forced mortgage rates, for example, to shoot up to 15%, with crippling monthly payments for a large chunk of the population.
Note that the article author is a cryptocurrency cultist, so he'll be all in favour of unscrupulous people enriching themselves at the expense of others irrespective of the negative effects this might have on society or the environment or whatever.
- mhh__ 5y agoWouldn't Soros argue that all he did was accelerate their leaving of an already increasingly strained ERM? The ministers in charge didn't want to be in the ERM, it was all Major.
- ceejayoz 5y ago> He forced mortgage rates, for example, to shoot up to 15%, with crippling monthly payments for a large chunk of the population. Does British monetary policy not get some blame, here? It was a sudden shock because they were putting their foot on the scale for quite some time.
- mhh__ 5y agoThe ERM was Major's big idea, most of his ministers didn't like it. The fact that they still went along with it is unimaginable in British politics today. Although the market's should not be worshipped, this is probably a good example of why you shouldn't be too ardent in your nudging of them for political reasons.
- vlovich123 5y agoAnother commenter mentioned this was part of the process to standardizing the UK on the Euro.
- jen20 5y ago> He forced mortgage rates, for example, to shoot up to 15%, with crippling monthly payments for a large chunk of the population. While this may be true, it is entirely the fault of the dumb UK mortgage market that does not provide for fixed-rate mortgages for the full term of the loan. In the US, 30 year fixed rates are the norm. In the UK you’re lucky to get 5 years fixed.
- NikolaNovak 5y agoInteresting. In Canada you can only get up to 5 years fixed typically. Mortgage itself is 25 years but terms change every 5 usually. 30y fixed feels... Crazy. How much above market does it have to be for banks to take that risk??
- makomk 5y agoThe banks don't take the risk of offering such long-term fixed rates. The US government does through Fannie Mae and Freddie Mac, effectively subsidising the mortgage market. Other countries don't do this and don't have the same kind of long-term fixed mortgages as a result.
- jen20 5y ago> The US government does through Fannie Mae and Freddie Mac, effectively subsidising the mortgage market. For so-called "conforming" loans (647k USD this year), the equivalent of which would be enough to buy a nice house almost anywhere in the UK except London, the nicer parts of the Home Counties or the South West.
- NikolaNovak 5y agoGeebus. How did I never pick up on that juicy tidbit during 2008 coverage. That's both awesome and insane
- vxNsr 5y agoPeople with a low risk profile today get 2-4% fixed rate. What’s it like in Canada?
- NikolaNovak 5y agoSimilar. But not for 30 freakin years - we all know rates will shoot up!
- deleted 5y ago[deleted]