A flaw in the model.

[Diopos]

We had discussions, in this forum, as to the causes of the present economic crisis. Some suggested that the causes might be trailed back to the economic system itself, others to the "greed" of many of the individuals holding key positions in banks, megacompanies etc. Underlying was a question, ie the need for more regulation or not in the free market eceonomy or even a change in the model introducing a much more prominent role for goverments in the economy. Sosialsm anyone?
Anyway the "greed" factor seemed to compensate for the need to question the system itself, ie the system is not that bad, the people who managed it were.

Do you want to know what Greenspan had (the audacity? sincerity?) to say about this?
http://news.google.com/nwshp?hl=en&tab=wn&q=greenspan

The part I'm talking about is about 0.30 minutes into the video.

Q. ...[you found out that] your view of the world, your ideology was not right, not working.

A. (Greenspan): Precisely.

Two things:
1. Obviously the "greed" factor can't account for all the mess...
2. If we were in Japan this guy would have commited charakiri.

Your thoughts?

[caspofungin]

i love how these guys made a fortune from the system then turn around and criticize it. "yeah, now that i've made my millions, we really need to put a system of checks in place to stop people making millions."

then again, lahde does get credit for at least mentioning that the common man is the one losing out all the time.

financial wizardry. i'm fairly certain i'm not an imbecile, but i have a hard time making sense out of futures, options, selling short, etc.

[Digital_Trucker]

The flaw in the model was, is and always will be the human beings that control the model.

[joegrundman]

But DT, you are forgetting that the models are also made by humans:p

[Digital_Trucker]

:rotfl:Exactly my point, but in a different way:D

[Frame57]

Reform NAFTA. Make it so companies can compete and do business here. This means tax incentives and not burdens. Eliminate any and all community reinvestment garbage. Give loans only to those who can afford them to begin with. Any public company caught fudging their books should have mandatory 25 year prison sentences....This is a start anyway....

[Blacklight]

Reform NAFTA. Make it so companies can compete and do business here. This means tax incentives and not burdens. Eliminate any and all community reinvestment garbage. Give loans only to those who can afford them to begin with. Any public company caught fudging their books should have mandatory 25 year prison sentences....This is a start anyway....

:up:

[1480]

Freddie & Frannie are the biggest blame, besides the Gee in this whole Mongolian cluster f&ck

[Diopos]

Freddie & Frannie are the biggest blame, besides the Gee in this whole Mongolian cluster f&ck

They were the "pin". A big pin but a pin. The problem was the rest of the grenade was fully loaded and well packed. And of the fragmentation type, too.

[1480]

Freddie & Frannie are the biggest blame, besides the Gee in this whole Mongolian cluster f&ck

They were the "pin". A big pin but a pin. The problem was the rest of the grenade was fully loaded and well packed. And of the fragmentation type, too.

Thats a pretty good analogy.