How do we get out of this mess Term Paper Example | Topics and Well Written Essays - 750 words

How do we get out of this mess - Term Paper Example Tom Keene and title â€Å"How to Fix the Economy: An Expert Panel.† The relatively short discussion for the loaded topic covered areas that are to be a benchmark on what should be done to put an end to the worst financial crisis since the Great Depression. Bill Gross probably starts it best by saying that we have first got to ask how we got into this mess (2010). The discussion covered areas that are most pressing in the current climate. The group tackled problems regarding housing, leadership, jobs and education. It is palpable that these areas of concern are in very much interconnected with each other. Majority of the group hold pessimistic views on the future of the economy as it is a long-term problem that may not see its end in years or even decades to come. The housing problem sets to be a quicksand which was a determinative factor in the state the economy is in right now. The importance of being homeowners among many Americans signifies the value and worth that he has on the society and even to himself. It is a representation and the tangible demonstration of one’s wealth. This is currently affected by unemployment which prevents homeowners to pay off their mortgage, acquire a home or may lead them to give up their home to make ends meet. This has created what Robert Shiller referred to as a bubble-and-burst cycle which is lead ing to continued lack of confidence (2010). The program of the government to provide for Home Buyer Tax Credit to stimulate the market into buying real property seems to alleviate this problem. Specifically, new homeowners with comparatively lower incomes may be able to avail of tax credits for their purchase. There is the palpable opposing argument on the need to restart private mortgage as aversion toward businesses such as Fannie Mae (FNMA) and Freddie Mac (FRE) is still fresh in the memory of people. But it is also important to re-analyze the housing sector and to implement innovations to d away with the effects of the