Suze Orman’s final article for Yahoo Finance is a MUST read. I have to say that I agree with a majority of what she states here. It is time to look at what we have done so that we act differently in the future. We should have known, we did not act and now, we as a people are paying for it. I wish more people had acted wisely like this article says.
Listen to the first lines of her article: “This is my final Money Matters column for Yahoo! Finance, and that has me thinking about what’s transpired since the column debuted in February 2004. Let’s just say these have been very interesting times. It just so happens that February 2004 was when the then-venerated — yes, venerated — Federal Reserve Chairman Alan Greenspan uttered this famous analysis: ‘American consumers might benefit if lenders provided greater mortgage product alternatives to the traditional fixed-rate mortgage.’ At the time, I strongly disagreed with Greenspan. Encouraging lenders and borrowers to take on more risk than they could really afford just didn’t make sense. But as is the case with bubbles, especially those where the chairman of the Federal Reserve is doing some of the inflating, they often expand for a while before finally popping.”