"Really smart" isn't the same as "infallible" and really smart people can be spooked or bulled into doing the wrong thing - like #Obama "foaming the runways" for the banks with the houses of mortgage holders, and leaving the bankers responsible for the #GreatFinancialCrisis unscathed:

https://pluralistic.net/2023/03/15/mon-dieu-les-guillotines/#ceci-nes-pas-une-bailout

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When Geithner told Obama he had to "#FoamTheRunway" for the crashing banks with the roofs over everyday Americans' heads, there were no grassroots organizers foaming at the mouth in outrage. Thus did Obama end the #GreatFinancialCrisis - by creating the Great #ForeclosureCrisis:

https://pluralistic.net/2023/03/06/personnel-are-policy/#janice-eberly

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Rich Dad Poor Dad Author Robert Kiyosaki Warns of ‘Greatest Real Estate Crash Ever’ - Rich Dad Poor Dad author Robert Kiyosaki has warned that the real estate market is... - https://news.bitcoin.com/rich-dad-poor-dad-author-robert-kiyosaki-warns-of-greatest-real-estate-crash-ever/ #robertkiyosakirealestatecrash #robertkiyosakirealestate #globalfinancialcrisis #robertkiyosakibitcoin #greatfinancialcrisis #robertkiyosakicrypto #robertkiyosakigfc #richdadpoordad #robertkiyosaki #economics

Expansionary austerity is politics dressed up as economics. Indeed, the political ideology subsumed into our bedrock models has caused governments to fail to anticipate crisis after crisis, including the 2008 #GreatFinancialCrisis.

The politics in modeling are especially obvious in the process running up to the Trump tax cuts.

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That's what makes the bailout so dismaying. It involves an exotic (to put it mildly; "absurd" also springs to mind) interpretation of the FDIC's statutory authority and the contours of the #DoddFrankAct, passed after the #GreatFinancialCrisis to ensure that the public would never reward reckless banks for failure.

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But despite a long-run tight labor market for tech workers, there have been two other periods of mass layoffs - the 2001 #DotcomCollapse and the #GreatFinancialCrisis of 2008.

Both of those were mass extinction events for startups and the workers who depended on them. The mass dislocations of those times were traumatic, and each one had its own aftermath. The dotcom collapse freed up tons of workers, servers, offices and furniture, and a massive surge in useful, humane techn.

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#BarryWish was a board member of #Ocwen, a company he co-founded. After the #GreatFinancialCrisis, Ocwen bid unsuccessfully to buy $215b worth of Bank of America mortgages. The winning bidder was #Nationstar. Three weeks before Nationstar's winning bid was announced, Wish bought $600k worth of Nationstar shares. After the bid was announced, he sold them for for a $157k profit.

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A quick refresher: Obama inherited the #GreatFinancialCrisis, a massive global asset crash that followed from a decade of real-estate and derivatives deregulation that saw the world's largest banks issuing mortgages they knew would fail, and then placing massive bets on "#CollateralizedDebtObligations" that were supposed to offset the risk.

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60% of Boomer-owned businesses - 2.9m firms of ~11 employees each, 32m people in all - are expected to sell in the coming decade.

If nothing changes, these businesses are likely to end up in the hands of consolidators. Since the #GreatFinancialCrisis of 2008, private equity firms and other looters have been awash in free money, courtesy of the Federal Reserve and Congress, who chose to bail out irresponsible and deceptive lenders, not the borrowers they preyed upon.

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