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To: Think4Yourself who wrote (53236)	7/10/2006 10:25:55 PM
From: Knighty Tin	Respond to of 116555

The egos in acadamia can be sky high, and the disconnect with reality Bushian in its depth. I think it comes from having gorgeous 19 and 20 year old coeds telling you how brilliant you are all day long. By the time the prof gets to the Fed, he believes the flattery that got the babe the good grade. "Yes, the problems are insurmountable. But it is I, super economist, on the job. 'Here I come to save the day.'"

To: Think4Yourself who wrote (53236)	7/11/2006 1:23:22 AM
From: Elroy Jetson	Respond to of 116555

Maybe Bernanke took the job as a public service. I certainly wouldn't have been considered with only an undergraduate degree in economics, but I would have taken the job and made Paul Volker look like an inflationist. One of the few things Milton Friedman has ever done that made sense was quickly stopping inflation in Chile when he was invited to "run their economy" by the new Chilean Junta. Unemployment jumped up to 35%, but two years later everything was getting better, with no inflation. But then he screwed it up with his fantasy-based economic ideas, and Chilean economic growth was far more stagnant than was justified by the circumstances. It reminds me of a "Pogo" cartoon from many years ago. An FBI agent berates a trainee who is beating a potato sack painted with eyes and a face, "No, no, don't beat the prisoner like that. . . beat him like this!" with the trainer doubling the efforts, "Its more humane." "Ulp! more humane?", Pogo said. Yes said his bulldog host (who happened to look exactly like J Edgar Hoover), "this way its over quicker!" I think pain over a short duration is always preferable to lingering pain which lasts far longer. .