Housing Perception Foreclosing on Reality: The Fundamental Housing Attribution Error.
Much to my surprise as I was watching the Olympics this weekend, guess who appeared at the events in China? Our own Treasury Secretary Hank Paulson was out on a vacation in China. He was on Meet the Press with Tom Brokaw discussing the economic situation back home in the United States. Everyone is entitled to a vacation so that isn’t the problem. Yet what he said tells us a lot about how our current economy is being managed. Mr. Brokaw brought out a quote from April of 2007 which had Paulson saying that the subprime problem wasn’t going to cause many issues. Paulson’s response was one in which he mentioned it was hard to predict what was going to occur before the August 2007 credit crunch. Welcome to our new fiscal policy. Problems don’t exist until they do. This is the look one-step ahead of you economic philosophy.
Of course, […]
Original post by drhousingbubble
