From The Pragmatic Capitalist:

David Rosenberg has some concise thoughts on a topic we've been banging the drum on for a long time - you can't solve a debt crisis with more debt:

"The FHA is picking up where subprime lenders left off: the agency has seen its mortgage business jump 70% in the past year (!) and its market share in just three years has gone from 3.0% to 23% - it is allowing borrowers to finance up to 96.5% of homes priced all the way up to $729,750.

Guess what, the default rate has risen to nearly 7% from 5½% a year ago. And, it is the taxpayer that is going to be picking up this tab … again!"

Read full article...

More on the "recovery:"

The stock market rally is a fraud

"Dr. Doom" Roubini turns bearish again

Market guru Prechter: Everything you've heard about inflation is wrong