If you’re new here, you may want to subscribe to my RSS feed. Thanks for visiting!The top item in the news in the last week has been the financial crisis facing the banks. Yesterday, Washington Mutual was seized by the FDIC. This is the largest bank failure in United States history. WaMu was then sold to JP Morgan [...]

Leverage creates wealth. This has been the promise behind the real estate boom. Now that the boom has gone bust, what is the role of leverage in the current financial crisis?
Greed is blamed for much of the economic crisis currently facing us. But blaming greed misses the real point. Greed needs a mechanism—a tool—to put [...]

John McCain claims that Wall Street greed is responsible for the current financial mess behind the bank failures and the subprime mortgage debacle.  Michael Hirsh has written a significant article that places the blame squarely on the refusal of the Federal Reserve under Alan Greenspan to use its regulatory authority.   
Who is mostly to blame for [...]