"Surely this all means that we're going to be ok. When people are able to spend thousands of dollars on bomb shelters and gold, real financial collapse can't be that close."
Here's my comment:
Don the libertarian Democrat wrote:
I wish people would hoard a little more common sense. Oddly, like you, I'm feeling better about the future. I might well invest in goods for survivalists
10/21/2008 11:45 AM EDT
And what if that confidence is a lie? Wouldn't people later react by discounting any news from the government with even further pessimism?
The supposed justification for the Paulson "make you an offer you can't refuse" Plan was to make it so people can't even figure out which banks really need the money. That is, even if a bank doesn't need to sell an equity stake, it will have to, so as to conceal the information about why one is unsound. That is a form of lying. It can only have similiar consequences.
If you think all we need is confidence then your admitting the economic system as it's now structured is a confidence game. A con.
Asset prices were inflated as leveraged bets kept piling into them. Confident that like all the other times when liquidty suddenly disappeared that the Fed could manufacture more. Greenspan the ultimate con man his sidekicks the wildcat financiers and pigmen ran the biggest long con of all time.
Dr. Boli's super-ego has a blessed drive and gift for disseminating laughter. His sub-concious is usually making a less comforting point - this time that 'A bank is a bank as long as people believe it is a bank.'
That links prompts you to log into google reader. Not having an account, I am hesitant
Here's why I think we we shouldn't panic:
From Free Exchange, signs that we've bottomed:
http://www.economist.com/blogs/freeexchange/2008/10/contrary_indicator.cfm#list-comments
"Surely this all means that we're going to be ok. When people are able to spend thousands of dollars on bomb shelters and gold, real financial collapse can't be that close."
Here's my comment:
Don the libertarian Democrat wrote:
I wish people would hoard a little more common sense. Oddly, like you, I'm feeling better about the future. I might well invest in goods for survivalists
10/21/2008 11:45 AM EDT
Desparate times call for desparate measures......
and
The ends justifies the means.......
Are we at the peak of a slippery slope?
And what if that confidence is a lie? Wouldn't people later react by discounting any news from the government with even further pessimism?
The supposed justification for the Paulson "make you an offer you can't refuse" Plan was to make it so people can't even figure out which banks really need the money. That is, even if a bank doesn't need to sell an equity stake, it will have to, so as to conceal the information about why one is unsound. That is a form of lying. It can only have similiar consequences.
Think about it.
If you think all we need is confidence then your admitting the economic system as it's now structured is a confidence game. A con.
Asset prices were inflated as leveraged bets kept piling into them. Confident that like all the other times when liquidty suddenly disappeared that the Fed could manufacture more. Greenspan the ultimate con man his sidekicks the wildcat financiers and pigmen ran the biggest long con of all time.
Dr. Boli's super-ego has a blessed drive and gift for disseminating laughter. His sub-concious is usually making a less comforting point - this time that 'A bank is a bank as long as people believe it is a bank.'
I think this is the link she was aiming for
drboli.wordpress.com