Greenspan was right! Markets ARE self-regulating!

[nashville_brook]

That's what they're doing right now: self-regulating themselves.

And this is EXACTLY why it makes sense to *regulate* the damn things. There's people at the "business end" of all this "self-regulation" and we are going to be suffering in giant heaps of cat food eating humanity.

We are expected to "regulate" every aspect of life EXCEPT money and markets. If we didn't regulate our diet, eating only that which pleased us, we'd be dead at 40. If we didn't regulate the environment in which we live, there'd be no air conditioning, refrigeration or housing. As human beings, it's our business to "regulate" the world in which we live.

To do otherwise is slavery.

Greenspan, Friedman and the rest of the gang have been very successful enslaving us and the entire world in this orgy of absurdity.

This is the very first confirmation of Greenspan's assertion that markets are self-regulating. I hope he's enjoying his day in the sun.

[grannie4peace]

1. good post!!!!!!!!

:hi:

[nashville_brook]

2. thanks -- was inspired by today's Democracy Now.

[nashville_brook]

9. here's the part that REALLY caught my attention:

http://www.democracynow.org/2008/10/10/bush_to_host_emergency_finance_meeting

AMY GOODMAN: Michael Hudson, what do you suggest that workers do about your 401(k)s, about their savings?

MICHAEL HUDSON: Well, even on CNBC, Jim Kramer said that it’s time to put your money in cash. This is not really a buying opportunity when it goes down. The only thing they can do is put their money in like a Vanguard Treasury or money market fund. Every stock adviser that I know has their money out of the stock market now, because none of us can tell what’s happening. None of us know. It’s the unknown. And why would you want to take a risk in this? At least you can preserve what you have.

[On the Road]

3. Yup, This is the Theory in Action

worked well in the 19th century -- bank runs and market panics with great regularity.

The worst thing about it is that governments and economists had gotten much better at creating successful regulation while keeping growth. It just wasn't enough for the supply siders.

[nashville_brook]

8. Thomas Frank has been keen to suggest that our moment has more in common with

turn-of-the-century routs than Depression-era fluctuations.

"Thomas Frank is back with another hunk of dynamite. The Wrecking Crew should monopolize political conversation this year. It’s the first book to effectively tie the ruin and corruption of conservative governance to the conservative "movement building" of the 1970s, and, before that, the business crusade against good government going back at least to the 1890s." —Salon.com

[JHB]

4. I once heard it described as...

..."it's a choice between using little razors to shave every day, or shoving your face into a lawn mower every decade or so."

[nashville_brook]

6. that's a wonderful analogy.

the whole thing is so simple when you get right down to it: don't live in a financial pig sty.

[adigal]

5. I think it will self-regulate down to about 7500

Wow! We will have lost about 1/3 of our country's wealth, on paper, when that happens. We are almost there, I think, although I know nothing. :)

[nashville_brook]

7. my gut has been telling me it will be a little lower. 6400 is where i've been thinking

it will nadir-out.

[nashville_brook]

10. ...

shameless self-kick