Public economic discussion is dominated by the disclosure of trouble, panic, calm and the return of optimism. Within a few weeks, reality creeps back into focus. Reality brings further disclosure of trouble. The cycle repeats. Month after month of reassurances ring hallow. Further elaborate pronouncements and Federal Reserve credit action do less to increase confidence and sentiment. Housing firms, home owners, residential mortgage backed securities (RMBS), and financial earnings keep falling. Write-offs keep rising.
Into this fray strides Treasury Secretary...
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