Global Finance, Energy and Environment: News, Views, and Stories of Interest
Friday, December 2, 2011
Black Swan Capital - All Dressed Up and No Place To Go - Crisis Off Again
Letting a good crisis go to waste: will they do it again?
Back in 2007 some no-name GOP political candidate with two first names emphasized the need to restructure our monetary system. But he had a hunch government would not even consider tackling the problem until a major crisis descended upon the US financial system.
About a year later, that crisis arrived. And while it centered on the US, it became a global financial crisis. It began with a bursting and subsequent deflation of the US real estate bubble; it continued with the insolvency of major banks and institutions; it was underpinned by a swollen and swelling budget deficit; and it was topped off with debt-strapped US households. There is more, but one would think that's enough of a crisis to spur action.