Worst is Over!

Alan Greenspan claims that the worst of the credit crunch is over. He may be right but I am not sure that the saga is over yet. I truly believe that many more lenders and consumer are going to suffer the wrath. I also believe that before all is said and done that Congress is going to "intervene" with new regulations on that industry.

I also find it interesting that Greenspan denies that he had anything to do with the housing bubble by lowering interest rates. I am no economic genius but it sure seems to me like the purpose of lowering the rates was to get people to go out and finance things (maybe like homes) in order to build up the economy. Amazingly, the housing industry took off right after that. Then as interest rates started to rise things started to come crashing down. I would have a difficult time not tying those things together in some fashion.

Be careful of the bubbles. Want to see the next one... look at the gas pump.