Fair Market Value??

Reader comment on: Eminent Domain Mortgage Grab Endorsed by Shiller

Submitted by Joe M (United States), Jun 26, 2012 09:34

"different stakeholders have been unable to reach an agreement, even if it is in their common interest."

Well, if it was in their common interest, not Shiller's view (ie, Govt) of what the common interest should be, they certainly would reach an agreement at some price point given rational actors.

" because they cannot manage a "selective incentive" or arrange "coercion or some reward" .

Um, that would be proper market pricing, as determined by buyers and sellers, not decree.

Now Shiller is placing utter reliance on the determination of fair market value as determined by "government appointed trustee". Thousands of quants and Ivy grads struggled to actually figure out what packages of mortgages were worth, but a community based trustee is somehow going to magically determine FMV? Or will it be a value that supports reaching the conclusion they wanted all along.

Ugh.

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Other reader comments on this item

Title By Date
⇒ Fair Market Value?? [144 words]Joe MJun 26, 2012 09:34
"Collective Action" [11 words]KenPJun 26, 2012 07:18

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