Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Vosilla who wrote (32761)	5/19/2005 2:22:32 PM
From: Knighty Tin	Read Replies (2) \| Respond to of 110194

The problem is that these economic imbalances are like the plant in "Little Shop of Horrors." Greenspan feeds the imbalances to keep the plant alive, and the next set of imbalances are bigger and hungrier. So, what he did under Reagan is still clunking around, but he has added many missteps since then. Also, when Greenspan was appointed, Reagan had given up on his tax cutting/big spending ideology and was actually raising taxes. Ditto under the real George Bush who had unreadable lips and under The Clinton Economic Miracle, which owed a lot to the Bush tax increases. So, monetary policy was nutso, but fiscal policy was moderately sane. Then Dubya came in, cut taxes, started an expensive war and expanded govt. spending like no Prez in history. Now we have nutso monetary policy combined with goofus fiscal policy for the first time under Greenspan's reign of mismanagement. Before, he could count on the reformed Reagan, George HW and Clinton to be the designated drivers while he overstimulated the monetary side. Under Dubya, we have no designated driver, and a crash is likely, though not inevitable. Drunk drivers don't get in accidents every night.