[Author's note: This has been re-posted by Joe Firestone (a.k.a. letsgetitdone) on behalf of author Warren Mosler with his express permission. Warren Mosler is currently the Independent Party candidate for the US Senate in CT]
The latest mortgage foreclosure mess is just another financial crisis.
It’s not a real economic crisis- no houses have been actually destroyed- no fire, hurricane, or earthquake damage, etc.
So the responses aren’t about bulldozers, hammers, concrete pouring, etc.
The question is whether this financial discovery/event spills over into the real economy. Read below the fold...