Comments on: What if the economy was treated like a sick patient? http://www.kevinmd.com/blog/2009/04/what-if-economy-was-treated-like-sick.html Tue, 14 Feb 2012 19:56:00 +0000 hourly 1 By: Anonymoushttp://www.kevinmd.com/blog/2009/04/what-if-economy-was-treated-like-sick.html#comment-90854 Anonymous Thu, 16 Apr 2009 19:49:00 +0000 http://clients.emmense.com/kevinmd/2009/04/what-if-the-economy-was-treated-like-a-sick-patient.html#comment-90854 Not sure. Hoover tried to let economy recover on its own and it didn't work. I don't think we want to wait for the third world war to take us out of this. None of the post war recessions had this massive deleveraging, nor were they deflationary. Deflationary cycles are very difficult to get out of. <br /><br />As to government's causing it,there are a lot of guilty parties, not just the government. It's not exactly government that invented CDOs, CDOs squared or gave 900K mortgages to those who flipped burgers in McDonald. Yes government contributed, SEC had nice input too, rating agencies. But there are really a lot of guilty parties starting with the government, continuing to Wall Street, to banks, to loan officers to people who took on more credit they could afford.<br /><br />Mind you I am not sure at all that the government takes the right steps. I'd imagine many of them are wrong. But I don't believe that doing nothing is a solution either. Last September was pretty scary. Plus I wish congress stopped their class warfare. I liked the referenced post, but I thought it could be made funnier by incorporating congress grand-standing. Not sure. Hoover tried to let economy recover on its own and it didn’t work. I don’t think we want to wait for the third world war to take us out of this. None of the post war recessions had this massive deleveraging, nor were they deflationary. Deflationary cycles are very difficult to get out of.

As to government’s causing it,there are a lot of guilty parties, not just the government. It’s not exactly government that invented CDOs, CDOs squared or gave 900K mortgages to those who flipped burgers in McDonald. Yes government contributed, SEC had nice input too, rating agencies. But there are really a lot of guilty parties starting with the government, continuing to Wall Street, to banks, to loan officers to people who took on more credit they could afford.

Mind you I am not sure at all that the government takes the right steps. I’d imagine many of them are wrong. But I don’t believe that doing nothing is a solution either. Last September was pretty scary. Plus I wish congress stopped their class warfare. I liked the referenced post, but I thought it could be made funnier by incorporating congress grand-standing.

]]> By: Chuck Brookshttp://www.kevinmd.com/blog/2009/04/what-if-economy-was-treated-like-sick.html#comment-90835 Chuck Brooks Tue, 14 Apr 2009 15:53:00 +0000 http://clients.emmense.com/kevinmd/2009/04/what-if-the-economy-was-treated-like-a-sick-patient.html#comment-90835 The economy as 'patient' will recover in spite of the federal nostrums, as it always has. Leaving the 'patient' to recover alone results in a stronger 'patient', not to mention one with a somewhat smaller tax load. A better take would be how the feds caused the 'patient' to get sick in the first place.<br />Chuck Brooks<br />FutureWare SCG The economy as ‘patient’ will recover in spite of the federal nostrums, as it always has. Leaving the ‘patient’ to recover alone results in a stronger ‘patient’, not to mention one with a somewhat smaller tax load. A better take would be how the feds caused the ‘patient’ to get sick in the first place.
Chuck Brooks
FutureWare SCG

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