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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?


To: Perspective who wrote (262266)7/19/2010 9:30:27 PM
From: neolibRespond to of 306849
 
What he left out of that is there is already too much money seeking investment returns and too little "productive investments" available, unless he wants serious over production, at which point of course people will stop "thoughtful allocation of capital" in said "productive investments" and instead set about speculating again. Its the problem most commentators avoid.

it's difficult to envision a return to long-term saving, productive investment, and thoughtful allocation of capital until - as happens every two or three decades - the speculative elements of Wall Street are crushed to powder.



To: Perspective who wrote (262266)7/19/2010 11:42:08 PM
From: THRespond to of 306849
 
bc,

Nice post. I was trying to say something like that. Well said.

GT
TH



To: Perspective who wrote (262266)7/20/2010 10:55:39 PM
From: tejekRespond to of 306849
 
I don't think most of the bears here *want* financial disaster. What we want is a return to investing, to the responsible caretaking of capital by the supposed protectors of our national capital. I happen to believe that will require the destruction of a great deal of the status quo. Many of our most powerful and their counterproductive practices must be thoroughly discredited and expunged from Wall Street. The credit addiction only grows worse with each crisis that is papered over in a foolish attempt to subvert the economic cycle. We hope for a moderate case of delerium tremens now as opposed to a fatal variety a few years hence.

I am hoping that total collapse of our economic system will not be necessary. That's what I think the Obama administration is trying to avoide. However, it may not be avoidable.

One thing that is happening is fewer and fewer people are participating in the markets on Wall Street. The denizons of the Street are very aware of that fact. That, in and of itself, may force change.