Comments on: Quote of the Day: The “That’s a Damn Good Question” Edition http://www.thelibertypapers.org/2008/10/09/quote-of-the-day-the-thats-a-damn-good-question-edition/ Life. Liberty. Property. Defending individual freedom and liberty, one post at a time. Wed, 08 Feb 2012 17:04:34 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Brad Warbiany http://www.thelibertypapers.org/2008/10/09/quote-of-the-day-the-thats-a-damn-good-question-edition/#comment-60470 Brad Warbiany Thu, 09 Oct 2008 23:22:40 +0000 http://www.thelibertypapers.org/?p=2983#comment-60470 Agreed with Jeff here. Not that you'd expect anything better from cable news, but it's a gross oversimplification. It's like saying "there's snow in California" and having someone respond saying "I'm in San Diego right now, and the weather's fine!" It's the commercial paper market that is in trouble. Businesses who have existing short-term debt and want to roll it over (a common deal) are having trouble. The same goes for some businesses who keep credit lines open that they may have reduced. This is a very serious matter... That's why I posted <a href="http://www.thelibertypapers.org/2008/10/07/fed-opens-spigot-with-up-to-900b-13t-more/" rel="nofollow">this</a> on Tuesday, because what the Fed is doing there is potentially a much bigger story than the silly bailout. Agreed with Jeff here.

Not that you’d expect anything better from cable news, but it’s a gross oversimplification.

It’s like saying “there’s snow in California” and having someone respond saying “I’m in San Diego right now, and the weather’s fine!” It’s the commercial paper market that is in trouble. Businesses who have existing short-term debt and want to roll it over (a common deal) are having trouble. The same goes for some businesses who keep credit lines open that they may have reduced. This is a very serious matter… That’s why I posted this on Tuesday, because what the Fed is doing there is potentially a much bigger story than the silly bailout.

]]> By: Jeff Molby http://www.thelibertypapers.org/2008/10/09/quote-of-the-day-the-thats-a-damn-good-question-edition/#comment-60468 Jeff Molby Thu, 09 Oct 2008 19:02:28 +0000 http://www.thelibertypapers.org/?p=2983#comment-60468 Fannie and Freddie are still gobbling up mortgages on the taxpayer's dime, so the mortgage market will keep operating. The credit card market will keep operating because it's so damn lucrative. The freeze is primarily in interbank lending and commercial paper, the ramifications of which are felt in most other credit markets. In other words, Stossel is merely pointing out one of the exceptions. Fannie and Freddie are still gobbling up mortgages on the taxpayer’s dime, so the mortgage market will keep operating.

The credit card market will keep operating because it’s so damn lucrative.

The freeze is primarily in interbank lending and commercial paper, the ramifications of which are felt in most other credit markets.

In other words, Stossel is merely pointing out one of the exceptions.

]]> By: tfr http://www.thelibertypapers.org/2008/10/09/quote-of-the-day-the-thats-a-damn-good-question-edition/#comment-60465 tfr Thu, 09 Oct 2008 18:06:42 +0000 http://www.thelibertypapers.org/?p=2983#comment-60465 Yah, and we're still getting several pounds of credit card offers in the mail per week. Yah, and we’re still getting several pounds of credit card offers in the mail per week.

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