Experts Expound

In California, there were more than 31,000 home foreclosures, a record, during the last quarter of 2007. Is California on the verge of a recession, or are we there already? What can our state government do about it?

If you look at the budget problems, California might be on the edge of a recession. And the governor has less ability to mitigate one than the president and Congress do. He’s out of tricks.

… And all the luxury suites at the Four Seasons are booked solid. No recession, just the Bush economic policies at work.
California is heading into a recession, and there’s little state government can do about it (other than not raising taxes).

There? We are sinking so fast we are gonna have to look up to look down. What can California do about it? Nothing that will stop the bleeding in 2008.

This is a normal market correction. We will likely see more foreclosures. That’s not a bad thing. Now the first-timers who weren’t able to afford a home when prices were unrealistically high can buy one and be part of the American Dream. And state government should stay out. I trust the Federal Reserve more than I trust legislative leadership and the governor.

It’s still unclear whether the federal government can stop a recession; forget about options at the state level.

Whether we’re actually in a recession is less important than people’s feelings that the economy is in a nosedive. On the foreclosure front, the best voters can hope for from state government is that the cure isn’t worse than the disease itself. Mortgage rates are dropping like a rock, meaning homeowners who are at risk of foreclosure or of having their ARM re-adjust upward have the opportunity to solve much of the problem themselves.

I don’t think we are any worse than most states. Getting a budget that acknowledges unemployment extensions and increased welfare would be a help.

These people made an individual free market decision. If Lois Wolk and Mike Machado are going to hold people accountable for building in flood zones, shouldn’t individuals be responsible for making bad personal financial decisions?

The people from whom we sought opinions: Andrew Acosta, A.G. Block, Mark Bogetich, Barry Brokaw, Morgan Crinklaw, J. Dale Debber, Peter DeMarco, Jim Evans, Kathy Fairbanks, Jeff Fuller, Rex Frazier, Ken Gibson, Evan Goldberg, Deborah Gonzalez, Sandy Harrison, Bob Hertzberg, Jason Kinney, Mike Madrid, Nicole Mahrt, Steve Maviglio, Adam Mendelsohn, Barbara O’Connor, Bill Packer, Kassy Perry, Jack Pitney, Adam Probolsky, Tony Quinn, Matt Rexroad, Matt Ross, Roger Salazar, Dan Schnur, Will Shuck, Ralph Simoni, Sam Sorich, Ray Sotero, Gary South, Kevin Spillane, Rich Zeiger.