By John Morgan Uneasiness is mounting about what some analysts view as a "toxic legacy" left behind by the Federal Reserve's unprecedented quantitative easing (QE) program and the towering debt it is leaving behind. When the Fed unveiled its ultra-easy monetary policies 2008, the aim was to spawn so much liquidity that investors would be willing to venture out of safe harbors and into riskier[...]
How Much Did Subprime Loans Fuel GDP boom? Economy Running on Subprime Loans Again?
By Steve Goldstein, MarketWatch WASHINGTON (MarketWatch) — It’d be tempting to think that the days of subprime loans fueling the economy were a product of the era of the aged or departed Ace Greenberg, Alan Greenspan and Angelo Mozilo. Except when you break down the growth in GDP, it’s clear that car and light truck purchases played a major role. And subprime loans, in turn, are financing [...]