Mortgage Math Doesn’t Add Up

I am no Nobel Prize winning economist like Paul Krugman. I didn’t go to Harvard or Dartmouth like the president and his economic brain trust of Geithner and Paulson. I did, however pass seventh grade math at Holy Family School in Ashland, Kentucky and the way I see it, something doesn’t add up.

Way back in October, (you remember October, it was when the Worlds Series was going on), the President was saying unless we slapped down seven or eight hundred billion dollars to get rid of bad mortgages and other “toxic assets” we were going to slide down into the abyss of economic ugliness from which there was no return. We needed to do it, right then! Now! Today! Wait, is this a four day weekend? Ok, we’ll do it Monday. Do you remember?  So we ponied up the dough and that solved the problem, right? (more…)