by Calculated Risk on 8/03/2007 04:51:00 PM

Cramer: Bernanke, Wake Up

Update: Of course Cramer is wrong. This is a classic credit crunch with rapidly increasing nonprice rationing. Cutting the rate would help a few homeowners, but it is the tightening lending standards for both mortgages and corporate credit (especially junk rated bonds) that are causing the credit crunch.