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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: Snowshoe who wrote (73066)	3/26/2010 12:40:34 AM
From: Maurice Winn	2 Recommendations Read Replies (1) \| Respond to of 74559

Don't be so sure. The Devil can be disguised in all sorts of fun-loving ways. Subtlety and seduction are his stock in trade. He can disguise himself as Mr Dogood, and once he nets swarms with his cunning, it's too late for them to escape. Look at the financial catastrophe of the housing and commercial property and financial sectors - people thought houses can only go up in price. Leveraged debt looked really intelligent. Financial relativity theory was something nobody had heard of, let alone understood. I could start a whole discussion on Zombies mindlessly borrowing [8 years ago], warning of the lurking disaster, but nobody takes note. In person one can talk to people and they have their "only goes up" mantras and there is no reasoning with them. They think one is ignorant, stupid, dull and financially inept. People still blame Alan Greenspan KBE, our great, estimable and venerable US$ soothsayer. He didn't make anybody pay too much for a house and borrow or lend absurd amounts based on ridiculous ideas. All he did was set some interest rates. I considered buying a house in California, but I couldn't believe the prices - that was about 2005 or maybe 2006. They needed to be about half where they were, which is where they are heading. Nobody told me I had to buy at those prices, let alone borrow to do so, against income which I didn't have. Mqurice