My Guess—not long
Jul 28th, 2009 by Randy Toman
In the book “The Fed” Martin Mayer’s says this;
“ But the new computer-oriented trading firms relied on statistical distributions and normal curves, and advertised that they didn’t take risks in the market because they understood the probabilities of all the price movements and placed their bets scientifically.”
They have found pieces of information and think they have turned that into some kind of knowledge and thereby thinking they have wisdom all the while things are on the path of destruction, falling apart.
We have financing and re-financing of school bonds taking on an acceptable air of no risk, even when as Mayer states;
“ Volatility (in the market) meant that the probabilities did not hold, and destroyed them.”
The school district narrowed their scope of analysis to taking these new Wall Street geniuses and their computer-oriented schemes as gospel. Words of advise as to what is good for the school district meant only that they could and/or had the ability to pay for the bond issue under their scheme and the taxpayer’s backs. And to close the deal the Wall Streeter’s told the district they could save and/or make a buck, depending on what the markets did. Sounds great and the school district bought it hook, line and sinker.
Reckless behavior as it was called in the “Robber Baron Days” of J. P. Morgan and A. J. Drexel, partners, who’s, financial schemes built among other things the Railroads. That “Reckless Behavior”, as Drexel called it, has gone from being called that to were folks today know it is sinful and the absolute evilness of greed and power, creating a damming blindness to reality and truth.
There is absolutely no way of avoiding the fact that morality is not neutral and with truth verses lies you can only be on one side or the other. What has happened is, we have taken God and truth and institutionalized a series of lies, which have become a basis for policy decisions, for legislation and law enforcement?
We have done that in government and within the capitalistic system rending them on the border of corruption and totally unworkable. The culture and its people cannot tell truth, anymore from the lies that are being shoved down our throats by the government. If we fail to recognize the truth of that statement, without a doubt the country is doomed, as evident in the social fabric of the country and the building of chaos with each passing day.
WE SHALL SEE how long the country will hold together. My guess is not long.
I close with this;
Agora Financial Investment Symposium—-July 2009
“This is not a recovery. This is a depression,’ our own Bill Bonner reminded us in his closing speech. ‘You take the serious numbers that measure the health of the real economy and you’ll see that things are not getting better - they are getting worse’.”