To: GraceZ who wrote (51400 ) 1/25/2006 4:34:38 PM From: bond_bubble Read Replies (1) | Respond to of 110194 One should never base an investment decision on thinking that a large group of people, a whole market as is the case with the bond market, is somehow dumber than you are. Ooh yeah. History has so many examples to show that masses/markets are so stupid. The glaringly obvious one: 1929 depression. Ofcourse in your opinion, the whole 1929/2000 NasDaq market were just fine. The markets were then smart. They were all right. Ofcourse, in your opinion the market was not wrong - just the investors were wrong in expecting a lot!!Why didn't you use it to invest in some sort of productive enterprise? You mean in China? My whole argument is that money inflation by Fed has created an environment where investing in US is costly, loss-making venture. Ofcourse, in your opinion, Warren Buffet is not smart enough when he chooses not to invest in US market and instead hold most of it in cash!! Ofcourse I'm not comfortable investing in China. I would have preferred helping some US enterprise - ofcourse you suggest that and at the same time you are supportive of govt printing that makes enterprising impossible at this stage of monetary inflation.....BTW the primary RE lenders Fannie and Freddie are not government agencies, they are public companies Yeah right. Govt can create $1 hospitals and $1 car manufacturers and call them public companies like FNM, FRE. And BTW, if these hospital, companies need money, they can just issues US Treasuries to cover their expenses!! Yeah, that was a wonderful argument. Ofcourse, I'm looking for public US corporations or start up that can print US Treasuries like the GSEs. Do you know any of them?The money you lent at low rates ended up on the other side of RE buying. You have met the enemy and it is you. Exactly!! May be you should re-read the constitution again. This is exactly what the constitution says!! If you allow govt to control your money, needs etc etc. the govt will make sure you become your own enemy!! By destroying every productive avenue by easy printing [destruction by moving industries to China, India as you so eloquently put, you are getting to live by what 7% of your earning now than 25 years ago with 70%?] - You are now saying - just live and invest in China!!! Yes, thanks a lot for that great idea!!!