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To: Mike Johnston who wrote (76759)	3/24/2008 6:37:02 AM
From: SouthFloridaGuy	Respond to of 116555

You can't print money with impunity if you are no longer the reserve currency. It's pretty clear where we are heading if we try it...that we can all agree on.

To: Mike Johnston who wrote (76759)	3/24/2008 5:49:02 PM
From: carranza2	Respond to of 116555

What are the proposed solutions to the current crisis ? Even lower interest rates ( sharply negative ), even more money creation, even more moral hazard and socialization of risk, even more government intervention in housing finance. That legislation which created the SEC was extremely well thought out. It worked to clean up very serious problems in the securities field. Unfortunately, the regulation of collateralized securities and derivatives in the last few years has been all but non-existent in a substantive sense. I have no doubt that the regulators dotted all 'i's and crossed all 't's and that they met all formal requirements. But there obviously should have been some oversight over the systemic risk created by these instruments. The fact that notional risk on derivatives is greater than the GDP is insane. We do not have the experience with this kind of risk to allow it. Once again proving that an ounce of prevention is better than a pound of cure.