{"id":15789,"date":"2015-12-29T13:41:08","date_gmt":"2015-12-29T18:41:08","guid":{"rendered":"http:\/\/olduvai.ca\/?p=15789"},"modified":"2015-12-29T13:41:08","modified_gmt":"2015-12-29T18:41:08","slug":"fed-policy-is-toxic-michael-burry-warns-the-little-guy-will-pay-for-the-next-crisis","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=15789","title":{"rendered":"“Fed Policy Is Toxic,” Michael Burry Warns “The Little Guy Will Pay” For The Next Crisis"},"content":{"rendered":"

“Fed Policy Is Toxic,” Michael Burry Warns “The Little Guy Will Pay” For The Next Crisis<\/a><\/h3>\n
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We are sure, just as many of the so-called “smartest men in the room” ignored him last time, so every status-quo-maintaining, asset-gathering, commission-taker will be quick to dissonantly shrug off Michael Burry’s (the economic soothsayer from Michael Lewis’ book “The Big Short”<\/em><\/a>) warnings this time.<\/div>\n
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As NYMag.com reports<\/em><\/a>, in an email, which readers of the book will recognize as his preferred method of communication, the real-life head of Scion Asset Management answered some of questions about the state of the financial system, his ominous-sounding water trade, and what, if anything, we can feel hopeful about…<\/p>\n

The movie portrays all of you as kind of swashbuckling heroes in some ways, but McKay suggested to me that you were very troubled by what happened. Is that the case?\u00a0<\/strong><\/p>\n

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I felt I was watching a plane crash. I actually had that dream again and again. I knew what was happening, but there was nothing I, or anyone else, could do to stop it.\u00a0The last day of 2007, I couldn\u2019t come home. I was in the office till late at night, I couldn\u2019t calm down. I wrote my wife an email and just said, “I can\u2019t come home; it\u2019s just too upsetting what\u2019s happening, and I didn\u2019t want to come home to my kids like this.”<\/em><\/strong>\u00a0As for punishment of those responsible, borrowers were punished for their overindulgences \u2014 they lost homes and lives. Let\u2019s not forget that. But the executives at the lenders simply got rich.<\/div>\n<\/blockquote>\n

Were you surprised no one went to jail?<\/strong><\/p>\n

I am shocked that executives at some of the worst lenders were not punished for what they did.<\/strong><\/em><\/u>\u00a0But this is the nature of these things. The ones running the machine did not get punished after the dot-com bubble either \u2014 all those VCs and dot-com executives still live in their mansions lining the 280 corridor on the San Francisco peninsula.<\/p><\/blockquote>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

“Fed Policy Is Toxic,” Michael Burry Warns “The Little Guy Will Pay” For The Next Crisis We are sure, just as many of the so-called “smartest men in the room” ignored him last time, so every status-quo-maintaining, asset-gathering, commission-taker will be quick to dissonantly shrug off Michael Burry’s (the economic soothsayer from Michael Lewis’ book […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[11328,303,305,312,6039,406,11329,3139,11330,4318],"class_list":["post-15789","post","type-post","status-publish","format-standard","hentry","category-economics","tag-excess-reserves","tag-fed","tag-federal-reserve","tag-financial-crisis","tag-free-money","tag-housing-bubble","tag-michael-burry","tag-michael-lewis","tag-real-interest-rates","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/15789","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15789"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/15789\/revisions"}],"predecessor-version":[{"id":15790,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/15789\/revisions\/15790"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15789"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15789"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15789"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}