With the stock market taking a major dip that left many people still gun-shy from 2008 reeling this week, the mainstream media has been working its propaganda machine overtime trying to convince all of us that there is nothing wrong. Talking head after talking head has appeared on every mainstream news channel you can think of saying the same things. This is nothing like 2008. Why? There is no mortgage crisis. The Fed can still step in and help if it gets really bad. Banks are in good shape. The goal is simple. They want to convince the general public that this is not something to get upset about and panic. However, the mainstream media is very carefully avoiding some facts that you need to know, and if they were doing their journalistic duties correctly, they would be asking these so-called experts these questions, which you will not find mentioned at all in the mainstream media’s reporting on the subject.
Okay, so first excuse. There is no mortgage crisis. This is true. Homes are not foreclosing at a furious rate. See, the people that lost their homes in 2008’s aftermath don’t have any credit now, so they can’t buy homes. The people buying homes now in the so-called recovery were those that did not own a home back when that happened, and now they are taking advantage of record-low interest rates and a buyer’s market like never before to get a lot more house for their money. This does make it look like the housing
market is recovering, and to some degree it is, but if you look at it from a broader point of view, it is only a changing of the guard. Those people used to own the houses while these people used to rent. Now it’s the other way around. But the talking heads are right. The mortgage bubble bursting was a major contributor to why 2008 was so bad, and that shouldn’t be as big of an issue this time around. Only there’s another bubble about to burst that may be even worse. The student loan situation should be the first question journalists ask of these experts when they say there is nothing to fear. But it is not being mentioned at all, and President Obama passed a silly little measure to lower everyone’s payments a little bit and acted like he had saved the world and everything is fine now. It’s not. The student loan situation is as big a problem as ever, and with presidential candidates like Bernie Sanders talking about making college free for people going forward, those swimming in student loan debt are only going to feel more despair as all that debt to get an advantage for themselves may very well be free for their competition coming down the line. The timing of this with that is a classic setup for a very similar situation as what happened in 2008, just with different moving parts.
Second excuse… the Fed can always save the day. Well, this one is just stupid. Interest rates are 0% right now, with the Fed casually mentioning trying to inch them up sometime this year (a scenario already looking less likely by the second). What are they going to step in and do? Start paying people to borrow money? Print some more money spiraling inflation out of control (another reason 2008 went the way that it did)? No, the Fed has little or no options this time, because all of their economic safeguards are already in play. The Fed won’t be saving the day, not unless it employs some drastic ill-advised measure that will just be a gigantic bandage, something we have seen happen in places like Greece.
So, you see, the mainstream media is trying to spread the message that there is nothing to worry about, but that is just plain wrong. Now, perhaps all of these things don’t line up just right and this doesn’t get as bad as we’ve seen before. We all hope that is the case, but it’s important to realize that what the mainstream media is shoving down your throat is ignoring pretty big chunks of a puzzle.