I have been talking about the current real estate correction since 2004 and almost daily I get an email pointing me to an article somewhere that goes way beyond reality in this area. Such is the one I received yesterday. The title House Bubble Bloodbath doesn’t really do the article justice. It is really funny to watch someone struggle to create connections between unrelated facts and event to support a preconceived agenda.

Basically, Mike Whitney doesn’t like the current President and thinks that the whole current correction, his bloodbath, is the fault of GW Bush and crew. Okay, well lots of people have various beefs with the current administration but this guy comes off like one of UFO conspiracy types.

I especially like this part…

The whole catastrophe was cooked up Sir Alan and his coterie of brandy-drooling elites at the Federal Reserve.

Pretty nifty turn of a phrase, huh? Then he goes on to talk about how “Sir Alan”, meaning Alan Greenspan conspired to drive real estate sky high, but only in some areas, for the purpose of… of… well, he never really gets around to saying why the conspirators were apparently trying to kill the US economy.

Then we have this part…

The housing bubble is actually an extension of the stock market bubble;

No doubt about it now, Mr. Whitney does not understand that there are actually three interconnected equity markets. But, facts don’t actually matter for a good conspiracy story.
Then he actually gets something right. He talks about the roll that sub-prime lending has this current correction. Now, do you think that Mr. Whitney thinks the Federal Reserve sets consumer lending policy? He might, it sure looks like he does.

Which really brings me to my point. Mr. Whitney doesn’t understand what the Federal Reserve is or does or even that “Sir Alan” as he calls him did not have dictatorial powers. But, those facts would get in the way of his fictional story.

Yes, we are in a correction. No, it will not be a bloodbath. No, people will not suffer in debt servitude.

He also takes a swipe at the current minimum wage. I will talk about the minimum wage more in another post but it is just more misdirection. No doubt, Mr. Whitney thinks that now that the Democrats are in control of Congress everything will be fixed by the hand of government.

I am going to add this post to the Humor category because the laugh factor is huge. The way he contorts himself to connect random facts and opinions is sight to behold!