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Non-Tech : Greenspan, Rubin & Co - the Most Irresponsible Team Ever?? -- Ignore unavailable to you. Want to Upgrade?

To: yard_man who wrote (101)	1/25/1999 8:54:00 AM
From: Tom M	Read Replies (1) \| Respond to of 309

>>Unbiased media<< Yes, some in the media are starting to spell it out, here's a nice summary of the whole deal. ------------------------------------------ nypostonline.com one interesting excerpt: The president can maintain his high rating if the stock market keeps the economy rolling along. But like any other Ponzi scheme, the Wall Street bubble can't continue unless fresh money keeps coming into the market. President Clinton's Social Security proposal would provide a lot of fresh money to keep the market going, which'll keep the economy perking, which will keep Clinton's rating high. It all works quite nicely - except that the proposal to allow people toinvest their Social Security money in the market is impossible to enact. Here's why. As I said, there is no cash in Social Security. So if I am allowed to, say, put $10,000 of my Social Security money into the stock market, where is the cash going to come from? Washington doesn't have the cash. And if it does raise cash that'll be put in the market, who is going to supply the cash to pay retirees? Plus, liquidating Social Security's bonds would send interest rates skyrocketing. And when the stock market crashes, the Social Security system will be in worse shape than even the pessimists are predicting. ------------------------------------------------ (Tip yeah I know Meehan's on the unbiased side, but the point of the other post was that Mr. Market only reacts to Mr. Greenspan.) ------------------------------------------------ Bill Fleckenstein's Friday Market Rap (1/22) had this to say about the new paradigm having no clothes: stocksite.com ...And the more this gets out in the public and the world's consciousness, the more you tend to create the potential for a crash, because people recognize, "Oh my God, this was a mirage, this wasn't the new era." When people see that the emperor's not wearing any clothes, things get ugly quickly.