Friday, February 23, 2007

Now, Don't Worry About a Thing, Dear...

Underbelly's magnolia bureau is a nervous Nellie. She's reading about Federal Reserve Board Governor Susan Bies who is telling people that we shouldn't worry about a mortgage collapse becasuse it's only a matter of (Ms. Bies' words) “7 to 8 percent of all outstanding mortgages”--i.e., the subprime ARMs. "A sliver," says Ms. Bies. (link).

"Who is she kidding? " snarls the magnolia bureau.

Well, let's do the computation here. Take my class of 25 debtor-creditor students, getting ready for a pop quiz. Tell them: by the way, a block of blue ice is going to drop the the skylight here and set two of you down flatter than an amateur Brunhylde. Would this little tidbit catch their attention? Hm, let me think...

Fn: Evidently she's going home.

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