Comments on: The Democrats Strangle Finance – and Jobs

By: krove

krove — Thu, 25 Jun 2009 17:12:15 +0000

Nothing the Obama team does will be worse than the disaster that Frum was part of with the Bush (sic)administration.

To pee away 1 trillion dollars on a war of choice to no end was the height of stupidity. Add to that all the other fiscal idiocy that doubled the national debt and turned a healthy surplus into a 1.8 trillion deficit.

Frum has no moral ground to criticize from. Not that it will stop him doing so on a subject he is pretty ignorant on.

By: balconesfault

balconesfault — Thu, 25 Jun 2009 16:30:17 +0000

It seems that the great dislink we’ve had as a society in the last 30 odd years is that government is taking a major risk when these bubbles occur … and thus while great profits are being generated during bubbles, some of that money should flow to government to help pay for the next time they have to clean up a mess.

By: ottovbvs

ottovbvs — Thu, 25 Jun 2009 10:03:27 +0000

“But bubbles are unpreventable – in large part because nobody knows until it is too late which rises in asset prices are justified and which are not.” ……..Bubbles are preventable! Greenspan was acknowledging both the dot com stock market bubble and the housing bubble a full two years before each of them popped. He just chose as a matter of policy not to deflate them because philosophically he didn’t believe it was the job of the fed to intervene to pop asset bubbles. It was also the case that numerous economists and bankers were pointing to the existence of these bubbles and their potentially disastrous effect on the financial sytem and the broader economy. Both these cases have been written about endlessly so for David to claim that bubbles can’t be identified is simply not true. Personally, I’m quite happy to see some “hampering” of financial innovation when the outcomes are as disastrous as the last ten years of “innovation” have proved. Obviously Frum is quite unchastened by the events of the past few years which have caused the most serious financial crisis since the thirties and have resulted in the evaporation of some $4-5 trillion of wealth. Amazing.