Martin Sumichrast describes that there has been a period of austerity for the past 4 years. It’s a fundamental response to a decade long financial boom which was based on irrational credit policies.
In other words Martin says, “the hangover always hurts. The goverment ramped up spending, then got the carpet pulled out from under itself. Austerity will taper as the economy rebounds, although very slowly.”
Original Article for Reference:
America Has Had More Austerity Than You Ever Would Have Imagined
Read more: http://www.businessinsider.com/austerity-coming-to-an-end-2013-8#ixzz2cSS0HCxD
Martin Sumichrast states that “We need to get back to a more reasonable standard that takes into account a borrowers complete financial picture and not only a few data points that some bean counter has established.” Martin also expresses,”US Housing needs to become healthy again and reasonable, available credit is the main fuel in the tank that can make this happen.”
Full commentary can be found on The Sumichrast Report.