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To: Casaubon who wrote (72569)	3/18/2001 12:00:19 PM
From: Zeev Hed	Read Replies (1) \| Respond to of 99985

Exactly the point I am now tired of making. Further more, Margins at 2% of total capitalization, while high by historical standards, is not the source of excess speculation. It was excess liquidity that did it and the only remedy left to AG was to soak it. Recently, he has been pumping the liquidity side of the equation again (much more than the official interest rates reduction) and that is going to set the stage for another financial assets revaluation and a worst bear market next year, IMTO. Zeev

To: Casaubon who wrote (72569)	3/18/2001 12:02:29 PM
From: Square_Dealings	Read Replies (3) \| Respond to of 99985

"Changing the margin rules will have absolutely no positive effect towards reducing speculation" Sorry, this is total BS. M.

To: Casaubon who wrote (72569)	3/18/2001 5:25:03 PM
From: Dennis O'Bell	Read Replies (1) \| Respond to of 99985

I agree with you, there are too many financial instruments in the mix for a simplistic tightening of margin to have "prevented" the bubble we had. That suggestion is just a way to blame J6P for the bubble, when he really had very little to directly do with it. Speculation could be killed off almost entirely - simply put a small tax on every movement of funds from one place to another. Every single trade, every single deal... with viscosity like that, it would be wonderful, the market would be like watching paint dry. No more excesses, no more bubbles. It would be stasis, like during the middle ages.