Sunday, September 21, 2008

There is no such thing as a free lunch

An interesting view on the current crisis comes in this blog :

During the stock market crash of 1929 and the ensuing Great least the CEO's whose abysmal decision-making led to those financially catastrophic events had the decency to leap from the windows of tall buildings to their certain death.

Today's criminally guiltless CEO's are rewarded for similar failures with golden financial parachutes guaranteed by the American taxpayer which they happily accept with open arms.

The land of opportunity has "spawned a whole new breed of men without soul"

My View: Leaping from tall buildings will solve nothing. The greed masters should work in the interests of the common man, and, by doing this, compensate society for their earlier acts. Unfortunately, all acts have to be paid for, eventually. A big mess in the American Markets is not going to go away by declaration of a bailout. The cleaning process has just been postponed. The entire world will be affected by the cleansing of the western financial system. There is probably more pain ahead.

1 comment:

thoughtspeed.illustrations said...

Dear Sir, I am your ardent fan and watch your inputs on CNBC TV18. I particularly like the conviction level of your views. Most experts like to "hedge" their views to sort of "safeguard" themselves. What i can gather/guess, from this US financial crisis is that Bear Sterns and Lehman Brothers used to take positions on margin from equities of retail unactive investors. Please suggest posssibility of this, i am not saying that mortgage security problem did coexist.