Monday, February 16, 2009

Nationalization, Regulation...

Those have been the overwhelming fighting tool brandished by those in government and other mummies and zombies. And that's what scares me the most in this whole crisis. Those have always been the standard reflex in all crises I can remember. If it was the right answer, how come we still have crises coming? And have you noticed that for all the fuzz, alternative investment (hedge funds, private equities) is the only category that has NOT asked (or received) Government aid? On the other hand, banks, that are highly regulated and GSEs (which stands for GOVERNMENT SPONSORED ENTITIES, by the way) like Fannie Mae and Freddie Mac were the CAUSE of the whole imbroglio.