[quote=DWCAP]What! you mean your life does not revolve around an internet blog and the faceless people who staff it? What kinda blasphmey is this!?! 🙂
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I know. I apologize. Hahaha… It’s just that at some point I have to draw the line. The bottom line is that we’re trying to get from Point A (declining employment, declining output, too much debt) to Point B (stable employment, stable output, and much lower debt-to-GDP). But we don’t want to try to deleverage all at once, otherwise we end up in a depression that benefits no one. Thus, govt intervention – which will undoubtedly cost us down the road – is necessary, in my opinion. The best laid plans will still result in a long, deep recession. But the tools are there to prevent a depression and I think we should avail ourselves of such tools. The basic foundation of our financial system is sound. The problems are considerable, but are around the edges – too much leverage, off-balance sheet financing, too many derivatives, etc. But these problems can be addressed over time and through additional regulation. It’s going to be ugly, but I don’t think it’s the End of Days. But the integrity of the backbone of the financial system has to be maintained (which requires govt assistance at this point)… otherwise we get Armageddon. Just my 2 cents.
