The Credit Crisis: Free-Market Responses
Gregory Knox, President, Knox Machinery Company - January 07, 2009
General Motors recent sent a letter to all its employees and suppliers containing the following plea:
Dear Employees & Suppliers,
Congress and the ... (read more)
Dan Miller - December 23, 2008
Word comes today that the queue for bailout money is lengthening, with commercial real estate developers the latest sector rattling its cup for taxpayers’ ... (read more)
Chris Edwards - December 19, 2008
The U.S. economy is in recession, and federal policymakers want to help by applying some old-fashioned Keynesian medicine. They are considering a “stimulus” ... (read more)
Sam Kazman and John Berlau - December 19, 2008
Sam Kazman, General Counsel of the Competitive Enterprise Institute, issued the following statement on the White House bailout plan for car manufacturers: ... (read more)
John Skorburg - December 04, 2008
This policy booklet is based upon an academic class entitled Introduction to Urban Real Estate (Econ/Fin 371) offered by the University of Illinois at Chicago ... (read more)
Thomas Hazlett - December 02, 2008
With Detroit's auto-makers flat on their financial backs, GM, Ford and Chrysler are begging for at least $25bn in public subsidies. They hold 250,000 auto ... (read more)
Matthew Glans - November 25, 2008
First offered by JP Morgan in 1997, credit default swaps (CDS) are the most widely used type of credit derivative in the market and an influential force ... (read more)
Christopher Wood - November 25, 2008
With an estimated $4 trillion in housing wealth and $9 trillion in stock-market wealth destroyed so far in the United States, there is little doubt that ... (read more)
Matthew Glans - November 20, 2008
The battle between proponents of the free market and those of socialism is the key economic battle of the next decade. It's been coming to a head in recent ... (read more)
President George W. Bush - November 17, 2008
President Bush Discusses Financial Markets and World Economy
Federal Hall National Memorial
New York, New York
Thank you very much. Please be seated. ... (read more)
Gerald P. O'Driscoll Jr. - November 17, 2008
On Nov. 14, 2008, the Dow Jones Industrial Average closed at 8497.31. On Nov. 13, 1998, the adjusted (for dividends and split) close was 8919.59. There ... (read more)
Jim Johnston - November 14, 2008
It is becoming obvious that the bailout, or “rescue” as the government wants to call it, will not unfreeze the credit market. Anna Schwartz ... (read more)
Jim Johnston - November 14, 2008
On October 6, 2008 the Federal Reserve announced that it would begin to pay interest starting on October 9, 2008 on required and excess reserves that individual ... (read more)
Robert Genetski - November 13, 2008
The Contribution of Monetary & Fiscal Policies to the Current Financial Crisis
Government: If you think the problems we create are bad, just ... (read more)
Jim Johnston - November 12, 2008
1. Bail out the investment banks, commercial banks, insurance companies, Freddie Mac, Fannie Mae, General Motors, Chrysler, Ford Motor Company, with $700 ... (read more)
Matthew Glans - November 04, 2008
While U.S. banks have not yet reached a full-blown panic mode, there is plenty to be worried about with respect to the FDIC.
Florida is not alone with ... (read more)
Daniel J. Mitchell and David M. Abromowitz - November 03, 2008
Today's question: How do we avoid another disastrous housing bubble? Increased regulation, or trust the market to price risk better next time? Previously, ... (read more)
M. Jay Wells - November 03, 2008
Obama's economic narrative of the mortgage crisis ignores the facts. He has put free-market capitalism at the root of the current mortgage industry debacle, ... (read more)
Daniel J. Mitchell - October 20, 2008
The financial crisis exists mostly because of government mistakes, particularly the Federal Reserve’s easy-money policy, the corrupt system of subsidies ... (read more)
Dan Mitchell - October 17, 2008
A few months ago, "moral hazard" was the favorite phrase of politicians and policy wonks.
Just six months ago Federal Reserve Chairman Ben Bernanke ... (read more)
David M. Abromowitz and Daniel J. Mitchell - October 16, 2008
What's the right role and structure for Fannie Mae and Freddie Mac? How about the Federal Housing Administration? Previously, Abromowitz and Mitchell discussed ... (read more)
Joseph L. Bast - October 15, 2008
The front page of today's Wall Street Journal carries a story titled "At Moment of Truth, U.S. Forced Big Bankers to Blink." In the quarter-century ... (read more)
Daniel J. Mitchell and David M. Abromowitz - October 15, 2008
Today's topic: John McCain recently proposed that the U.S. Treasury buy up bad mortgages. How would that affect the mortgage and financial crises? Would ... (read more)
Brian S. Wesbury and Robert Stein, CFA - October 14, 2008
On Friday (October 10), the Financial Accounting Standards Board (FASB) voted to release a staff proposal that strongly suggests companies may use contractual ... (read more)
Daniel J. Mitchell and David M. Abromowitz - October 14, 2008
Today's question: Who've been the real heroes and villains in Congress when it comes to housing policy? Previously, Abromowitz and Mitchell discussed whether ... (read more)
Daniel J. Mitchell and David M. Abromowitz - October 13, 2008
Today's question: Should the government get out of the American dream business? Do we really need tax preferences and subsidies for home mortgages? All ... (read more)
Donald Devine - October 10, 2008
Before the first Congressional vote on Treasury Secretary Henry Paulson’s mindboggling $700 billion bailout/socialization of investment-banking risk, ... (read more)
Stan J. Liebowitz - October 06, 2008
Why did the mortgage market melt down so badly? Why were there so many defaults when the economy was not particularly weak? Why were the securities based ... (read more)
Matthew Glans - October 06, 2008
Many pro-market economists have been explaining for years that the FDIC banking system creates an intolerable risk for banks and the economy.
They say ... (read more)
Natasha Altamirano, Peter J. Sepp - October 03, 2008
(Alexandria, VA) -- Just minutes after the House of Representatives voted to pass legislation containing a $700 billion financial industry bailout, the ... (read more)
David H. Padden - October 03, 2008
I was electrified yesterday when it became obvious that Americans had gotten off their fat-cat seats to actually call their congressmen to protest this ... (read more)
J. Scott Armstrong and Kesten C. Green - October 01, 2008
Assume you are considering investing $700,000 and that this is a large sum for you. Experts give you the names of two reputable investment houses of long ... (read more)
Daniel Mitchell - October 01, 2008
The proposed bailout of the financial system is a misguided scheme that will hurt the U.S. economy in the short run and long run. The economy currently ... (read more)
Martin Masse - September 30, 2008
In his Communist Manifesto, published in 1848, Karl Marx proposed 10 measures to be implemented after the proletariat takes power, with the aim of centralizing ... (read more)
Dan Miller - September 30, 2008
Politicians, economists, and pundits don’t have enough fingers to point at all the causes that created the current financial crisis, but one source ... (read more)
Dan Miller - September 30, 2008
The national debate over how to address the crisis in the U.S. financial markets has created sharp divisions that cross political and philosophical lines. ... (read more)
Donald Luskin - September 29, 2008
What’s a principled conservative to think of the Bush administration’s proposed $700 billion authority to allow the U.S. Treasury buy illiquid ... (read more)
September 29, 2008
Side-by-Side Comparison of Rescue Legislation
Issue
Paulson Plan
Frank-Dodd
... (read more)
Republican Study Committee - September 29, 2008
The Emergency Economic Stabilization Act (H.R.__) provides the Treasury Department with the authority to purchase illiquid, troubled assets on the books ... (read more)
Jeff Jacoby - September 29, 2008
“The private sector got us into this mess. The government has to get us out of it.”
That's Barney Frank's story, and he's sticking to it. As ... (read more)
Matthew Glans - September 24, 2008
A holdover from the 1930s-era New Deal programs, the Federal Deposit Insurance Corporation (FDIC) aims to limit the occurrence and mitigate the effects ... (read more)
Jim Johnston - September 24, 2008
Congress, the Treasury, the Securities and Exchange Commission, and the Federal Reserve are hell-bent to bail out the housing and financial industries and ... (read more)
Jim Johnston - September 22, 2008
To summarize the present financial crisis:
1. A lot of mortgages at variable interest rates were given to borrowers who were not qualified
2. The housing ... (read more)
Brian S. Wesbury - September 22, 2008
The Treasury Department has told members of Congress that the US faces a financial tsunami if a bill to allow the government to purchase up to $700 billion ... (read more)
U.S. Treasury staff - September 22, 2008
The following is the legislative proposal from Treasury Department for authority to buy mortgage-related assets:
Section 1. Short Title.
This Act may ... (read more)
Friedrich A. Hayek - June 01, 1932
“Instead of furthering the inevitable liquidation of the maladjustments brought about by the boom during the last three years, all conceivable means ... (read more)
