The biggest shoe finally drops?

This article in the NYTimes is a really scary sign for the economy.

The bank Lehman is going down, and the Feds cannot find anyone to buy it, as they had been able to do with Bear Stearns. Unless they figure something out Lehman will be "liquidated" and possibly start pulling down the financial house of cards super-fast.

The cause of the fall of Lehman and our general economic problems is the declining price of homes, where the banks, and America, have way too much of our wealth wrapped up. As long as housing prices keep going down, the banks will keep going belly up, nobody will be able to get loans for anything, and the downward spiral continues.

The bad news is that most housing economists think that since housing prices went up so high from the late nineties until 2006, we are only about halfway through the housing decline.

Thats been today's edition of depressing news, now back to football!