Hi Frank (and Medroogies - EDIT I will direct him here from another thread), the issue to the early pessimists and NewEc non-believers is not that we are losing massive amounts of wealth directly on the stock markets.
To understand some of the negativism posters, some underlying pre-conceptions biased by trepidation and early mild panic must be put aside, and accept that the following are true:
(1) the bears are not pessimist
(2) the bears are publicly spirited
(3) the bears would, in a fight, stand up strongly for truth and justice
(4) the bears are trying to protect wealth, and if need to do so by taking goodies away from the bulls, so be it
We are worried in that should our fears be realized, we will lose wealth via any number of means because of what bulls did, cheered on by CNBC and led by Mr. Greenspan. Losing wealth through the following means is not as direct and visible as having our wealth ripped on Nasdaq, but never the less sickening:
(a) real estate downturn, in liquidity and transaction price
(b) business downturn
(c) poor employment prospects for friends and family
(d) currency debasement
(e) long period of stagnation and negative news, and
(f) all the potential problems that could infect the system when the system is weak ... crime rate, etc, etc.
In many ways the world is a living and complex organism, and when it gets sick, we all get sick.
The situation is not palatable even if the bears lose relatively less wealth than the bulls.
The bears are the optimist, we just happen to think more and are more concerned about the general welfare.
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Message 15499316
and beside, some bears are bullish about some asset classes, like cash, very short duration high quality bonds, physical and paper gold, etc.
The bears, collectively, in the aggregate, prefer a vibrant real economy, but we have no choice now, because we do not deal out the playing cards, and so ...
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Chugs, Jay
Disclosure ...
Message 15505751
As this is also a message for Medroogies
Message 15514827
Message 15515504
I will direct him to this message from another thread. |
