financial crisis
With the financial crisis looming, I’ve been listening to a lot of comment that suggests the bursting of the bubble will be cataclysmic.
From what I can tell, this has come about because the markets have been ridiculously inflated by insanely over-priced assets, whose values were propped up by loans to those who could not afford them.
So in a sense, its kind of like that amusing little story, that aeroplanes, huge lumps of steel, only fly because of the collective delusion of its passengers, that if we stopped believing, then they would fall out of the air.
Our global economy, therefore, is one of these aeroplanes, in which case, all we need to do is go back to believing in its ability to soar high above all incredulity, then the phoenix will rise, the crisis will have passed and we can grow fat on the rising value of our assets, our booming stock markets and so on.
Such sentiments, it seems, are shared by the financial heavyweights in the United States government.