Tucson To Be Announced
October 6, 2008
Post Tags: economic stability , Tucson Real Estate
To Be Announced
That’s what they say when they don’t know what is going to happen. Sometimes it is because of a major computer failure and the system has lost its scheduled programming and events. To Be Announced is put in its place. Last week during the vice presidential debate I saw this on the menu when the regular scheduled program was about to be recorded instead it was “To Be Announced” in that time slot and the program was bumped an hour and a half.
Economic Stability To Be Announced - Let's Hope This Week
To Be Announced is where we are at right now in the economy. The Emergency Economic Stability Act has passed and been signed. Now the work begins of putting this money to work to Stabilize the economy. How is this going to happen? It is “To Be Announced”.
Not entirely though, much of what was destabilizing the economy was FEAR. That fear of losing what one had drove banks and individuals to hoard their money in fear of loosing it. The removing of the fear of loss is what the Stability Act is really all about. FDIC guarantee going from $100,000 to $250,000 is about removing fear of loss and replacing it with confidence our money is safe leading to stability in the economy. This is just one way the Stability Act is to work.
One man’s pork is another man’s economic stability
Is there pork in the bill, DUH! It is a bill passed by the Senate and the House. There is always pork. Can anyone show me a bill where everyone agrees there is no pork? Even some of the things labelled as “Pork” will stimulate the local economies which could be hurting because of the lack of available credit. There are other things being labeled as pork which shouldn’t be.
I read yesterday of a repeal of a tax on toy arrows being called “pork” by some. It was an oversight in the original tax bill not to exclude toy arrows from a tax on arrows. Hunting arrows can be expensive and a tax on those who wish to partipate in bow hunting is acceptable. When that tax is levied on toy arrows to the point it means many boy scout troops, schools and other organizations with archery programs can no longer purchase those arrows because of the price increases due to the tax it should be repealled and not called pork.
To Be Announced Shortly
No ones knows for sure the details of how this is going to be put into place. But we do know this, the goal of the bill was create an atmosphere in which Economic Stability could be restored and quickly. It took less than two weeks for the fear to overcome financial institutions and those with funds invested in them and in banks. Hopefully it will take less than two weeks to restore confidence in those institutions which are on good footing, which are capitalized and which have not been in risky investments so they can continue to function and keep the economy as a whole moving forward so we don’t slip into a deep recession where there are no winners and almost everyone looses.
Let us all hope the short circuits to the economy can be resolved quickly enough to overcome the fear and regularly scheduled programming can return. No one wants the Housing markets or mortgage institutions to return to the practices of a couple of years ago. We all want affordable housing, mortgage rates which families can live with in their budget and confindence restored so lending to those who are credit worthy can resume.
On the local front: Tucson Real Estate prices have come down considerable during the past 9 months. But so has available inventory. As inventories shrink and availability is reduced it is the nature of all markets for prices to increase with a shortage of supply and an increase in demand. Once credit is readily available we can expect to see our market at a healthy rate and pace moving into 2009.
