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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Road Walker who wrote (450507)	1/24/2009 7:03:15 PM
From: tejek	Read Replies (1) \| Respond to of 1574006

As for letting everything unwide....why? It will only lead to a lot more pain and its not going to stop us from working on the next bubble. I think growing bubbles is a consequence of free markets and capitalism. No? Ted, this isn't just another recession, an it's not just real estate. It is a recession and it is mainly about real estate......at least right now. Now there are people who are alluding to the big D but when you confront them on it, they back off. So until the statistics suggest otherwise, I am calling this a recession. And right now, the major culprit is asset values, specifically housing. Individuals, companies and government have been borrowing way beyond their means as if everything will continue to go up. We've 'stimulated' ourselves out of minor recessions to the point where 'moral risk' (hate that term) has all but disappeared on every level. More stimulation doesn't make the debt go away; in fact in itself increases the debt. Debt is not an abstract, it's real money that has to be repaid with interest. Every penny of the government debt, of corporate debt of personal debt has to be paid back. The debt is the problem, more debt is not the solution. Why let everything unwind? Because it has to. So then, you want to go back to the time before WW II when there was little credit.....no credit cards. It was cash and carry. Housing is bought after you save up for a life time and then you can pass it off to your kids? Is that what you are proposing? Is that what you call the great unwind?