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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Chas. who wrote (52584)	7/21/2009 3:07:07 PM
From: Maurice Winn	2 Recommendations Respond to of 217942

Did you foresee it Chas? I described the problem way back in the Zombie stream in 2002. Subject 53236 People borrowing money with a wild gleam in their eyes then blaming the guy who keeps the money supply on the rails. They also, as usual, blame the creditors. Anyone but themselves though they are the only ones who really understood their situation when making the decision to borrow. If you think loose money and lending was the problem, what do you think Obama, Big Ben, and the body politic are doing now? The dollar is just part of the system of weights and measures. It is subject to financial relativity theory the same as the metre is subject to regular relativity theory as are the kilogram and the minute. But each unit of weights and measures is established, near enough, more or less, good enough for government work. It's up to users of each method to know what they are doing and design their project accordingly. A house builder doesn't blame the metre for being too short if he misunderestimates how much wood he'll need. A clockmaker doesn't accuse the minute standard of being too short if their chronometer gains time. The units are just standards. What people do with them is their choice and they had better not use the 7 Deadly Temptations in their planning - "Hmmm, I'm really important and want to be seen to be, so I'll need to borrow a LOT of money to build a mansion ...". A rocket to Alpha Centauri at 0.999c will run out of petrol if the extra mass accumulated en route is not accounted for. A financial investment which ignores financial relativity theory is not long for this world either. The Newtonian idea that "house prices always go up" was obviously not true and anyone could have asked Google for information on house prices around the world and throughout history to get a broader idea than what happened in Peoria. Free pass for Alan Greenspan KBE. He did a good enough job, though I would have improved on Y2K interest rates and 2003 interest rates. Better still would be a free market in money. But for what he was dealt, he played the cards reasonably enough. Mqurice