David Saks: Financing the National Debt : More Trouble

David Saks - Real Estate Broker - The Real Estate Mart of Tennessee, Inc. - 4040 North Watkins-Suite #4 - Memphis, Tennessee 38127 - Phone (901) 357-4663

Financing the National Debt : More Trouble


What happens when fiscal policy begins to determine the course of the natural state of the nations economy ?

Our federal fiscal policy is overseen by both the legislative and executive branches of the United States government.

What happens when the federal government spends more money than it expects to receive in the same year ?toilet paper

A big, nasty deficit, more shortage, more shortfall of economic resource and liquidity falls and slams head of the nation.

So, what does the government decide to do when this kind of thing happens ?

The government starts to sell interest bearing securities to investors who fall for the bait.

And what might the hook be baited with you may ask, for goodness sakes ?

Why it's none other than 500 billion dollars of Federal Rerserve Bank acquired mortgage backed securities from (you guessed again) Freddie Mac and Fannie Mae, resources that once belonged to private investors.

So what does this mean ?

It means that now private investors are once again lending money to the government to to cover the governments huge, failed spending catastrophe.

Will this have an effect on interest rates in the future ?

Yes ! They could increase.

Why ?

The government is borrowing, extracting, removing, withdrawing, absconding and making off with huge amounts of dough that rob the money markets and will in turn increase demand for funds for every aspect of commerce known to mankind.

Hang on to your hat !

That's about the only thing many will have left in a few days.


David Saks

Time&Temp Memphis

Legal Disclaimer
Please be advised that:

 The information and notices contained in this blog are intended to summarize recent developments and news. The posts are presented as general research and information. These posts are not intended, nor should be regarded, as legal advice. Some blog posts concern allegations made in civil lawsuits and in criminal indictments in United States Courts. All persons are presumed innocent until convicted of a crime and proven guilty. Readers who have particular questions or who believe that they need legal counsel should seek the advice of a qualified attorney. It is neither the editor's or author's intention to create a confidential relationship or any broker-client relationship via communication from this site at any time. Please consult with your state real estate board if questions & answers in the education section conflict with the laws of your region or if you need clarification regarding their applicability or how they may govern the services that you provide.

By entering this web site, you understand the following:
When you select a link to an outside Web site, you are subject to the privacy, copyright, security, and information quality policies of that Web site. David Saks:
1.DOES NOT control or guarantee the accuracy, legality, relevance, timeliness, or completeness of information contained on a linked Web site;
2.DOES NOT endorse linked Web sites, the views they express, or the products/services they offer unless linked web sites, the views they express, or the products/services they offer endorse or support David Saks in accordance with the standards of the Tennessee Real Estate Commission and the Federal Government's laws regarding commerce and the application, solicitation and transmission of internet-related concerns, commerce or social networking;
3.CANNOT authorize the use of copyrighted materials contained in linked Web sites;
4.IS NOT responsible for transmissions users receive from linked Web sites;
5. That DavidSaks.Com is biographical & real estate related. Some links within will leave this site.
6. http://activerain.com/profile/davidsaks is internet-compliant & abides by the rules & regulations of the Tennessee Real Estate Commission, Eve Maxwell, Executive Director.
7. Unless indicated otherwise, ActiveRain does offer listings, or IDX and is provided for licensed salespersons, brokers, buyers & sellers of real property as a community & professional service.
8. David Saks is a retired / licensed real estate broker in the State of Tennessee, license #290452, and an independent contractor.
9. Information is believed to be accurate, but not guaranteed, at any realty link or document connected to the World Wide Web & viewable by anyone connected to the internet who has a web browser.
10. Brokers, buyers, sellers, agents & anyone should independently verify any information prior to submitting any offer to purchase goods & services from any link.
11. Please Visit The American Real Estate Alliance or Memphis.8k.Com for additional information regarding property issues for real estate professionals and consumers.


Photos © & Licensed by Nova Development

All Content Protected © 
Before you even think about
committing a real estate crime
click this red button.
Real Estate Crimes

© All Rights Reserved.





"Information generated by the Department of Justice is in the public domain and may be reproduced, published or otherwise used without the Department’s permission. Citation to the Department of Justice as the source of the information is appreciated, as appropriate."

Department of Justice Legal Policies


  Real Estate Crimes


Click "HERE" For Today's Question



TheListen Now!

David Saks Show

Saturday Nite

9pm-12am Central

University of Memphis



America's Hobby

Click Elvis

Mr.Saks' participation in ActiveRain ended April 13, 2015.

His blog archives will remain online.

May God bless you.

Comment balloon 2 commentsDavid Saks • February 18 2009 03:10PM


Pretty scaring stuff. I cant wait until 6 moths goes buy to see what will happen.

Posted by Frank Magdefrau, Certified Master Inspector (DeSoto Home Inspection Services) about 11 years ago

I'm interested in the next seven years, Frank, because of the attrition of equity. If the national of 3% per annum was shattered from the previous 10 years, and desparity of 30 to 40 percent in some markets has now become evident, recovery will be slow if the economy is saddled with new spending. There's always room for improvement, though, and I hope that our great mid-south (and national) builders believe in that idea. Hope you have a great week.

Posted by David Saks ((retired)) about 11 years ago

This blog does not allow anonymous comments