How could the 2008 Recession be delayed?

CountDVB

So yeah, here's an interesting question. How could the 2008 recession be delayed?

Like, as an example, if Kerry won in 2008, could he reverse the tax cuts or do something to delay the 2008 recession?

I'm curious since the when of the recession occuring would have differing political rammifications, especially if combined with other nails if you will
 
Germaniac

Germaniac

Donor
If the Fed and the government react quicker to the crisis i dont see why the crisis couldnt have been closer to the 1908 crisis. Then again im not an economist and i could be pulling it out of nowhere.
 

Apollo 20

The real cause of it all was the financial crisis caused by, mainly, mortgage derivatives created in the mid-2000s during the housing bubble. So,you need to go back to 2004-2005 and cool down the housing market, which should dry up the market for all those mortgage related financial products. You might be able to do this as late as 2006 but it gets tougher. What you have to do here is prevent the credit markets from seizing up in 2008, which is what precipitated the recession. It was a financial recession rather than a demand recession.
 

CountDVB

Apollo 20 said:
The real cause of it all was the financial crisis caused by, mainly, mortgage derivatives created in the mid-2000s during the housing bubble. So,you need to go back to 2004-2005 and cool down the housing market, which should dry up the market for all those mortgage related financial products. You might be able to do this as late as 2006 but it gets tougher. What you have to do here is prevent the credit markets from seizing up in 2008, which is what precipitated the recession. It was a financial recession rather than a demand recession.
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Well, the point here is just to delay the recession rather than prevent it from happening. I think it could be possible for Kerry to do something with the mortage derivatives in 2004 or 2005 as to delay it.

However, how far could the financial crisis be delayed by if it was unavoidable?
 

Ak-84

Banned
Could Kerry stop it, hell no. The policy of easy credit and debt was a bipartisan one and would be continued if he was elected.

Could the impact be delayed past Sep 15 2008? Again doubt it.
 

CountDVB

Ak-84 said:
Could Kerry stop it, hell no. The policy of easy credit and debt was a bipartisan one and would be continued if he was elected.

Could the impact be delayed past Sep 15 2008? Again doubt it.
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I know that it was unavoidable, but why couldn't the impact be delayed
 

misterwibble

2004 was too late to do anything about the subprime housing market. Delaying the recession only allows more shit to build up, making the recession when it happens worse.
 

CountDVB

misterwibble said:
2004 was too late to do anything about the subprime housing market. Delaying the recession only allows more shit to build up, making the recession when it happens worse.
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The point is on how it could be delayed, not on how we could avoided and there’s probably some way to delay it without necessarily making it worse.
 
creighton

creighton

Kerry would also be quite constrained by the congress he would be working with. If you swing about 80,000 votes in Ohio and make him POTUS, he still is working with a 232-202 GOP majority in the House and a 55-45 GOP majority in the Senate. So, even if you gave him some super prescience on the impending housing issues in 2004, it's likely that any kind of major financial overhaul legislation would be DOA.
 

CountDVB

creighton said:
Kerry would also be quite constrained by the congress he would be working with. If you swing about 80,000 votes in Ohio and make him POTUS, he still is working with a 232-202 GOP majority in the House and a 55-45 GOP majority in the Senate. So, even if you gave him some super prescience on the impending housing issues in 2004, it's likely that any kind of major financial overhaul legislation would be DOA.
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Well, this is in part examining a greater idea; (namely, a timeline with no 9/11 Given how apparently the Bush adminsitration would still war with Iraq, the lack of a 9/11 would mean much less support and mroe scrutiny for the war and thus, maybe the GOP majority is not a sbig, especially if some of the close races were in the Dems' favor along with House.)

But, while I figure he may not be able to do much of anything, he could at least try and see if he could do something to delay it. If the GOP takes the presidency in 2008, a delayed housing crisis would instead be blamed on them (if it occured in like 2009).
 
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