The Art of Tetman Callis Economics In case anyone is still wondering

In case anyone is still wondering

“Sound loans are at the heart of a sound banking system.  Unsound loans are the surest route to disaster.” — McLean & Nocera, All the Devils Are Here

4 thoughts on “In case anyone is still wondering”

  1. Strange how the men with the most money tend to lose sight of what the rest of us learned from people like Uncle Freddie, who now sends postcards from places like Winnemucca and Bakersfield, CA: Still plan to pay you back. I’ve got a line on a job. . .

  2. Uncle Freddie reminds me of such phrases as “Talk is cheap” and “Money talks, bullshit walks.” Sadly, the global economic system is still in an extremely fragile state. The one thing the power-brokers desperately do not want us to know is how much financial trouble we are all still in.

  3. Yes, because nothing really has changed. The financial system is still dangerously codependent, unregulated, and shaky as a house of cards. To me the most frightening thing is that if we have another serious crisis, there will not be sufficient political will to set it right, and the whole thing will come tumbling down while the suits in Congress do battle for face time on Fox News.

    Do you remember doing drills in the classroom, to prepare us for a nuclear attack? Hiding under the desk and all that? I would never have understood as a child that money could be as dangerous as The Bomb.

  4. None of the central bankers know what is out there in terms of unregulated securities. The central bankers are tasked with maintaining the viability of the currency, but they can’t do it from their position of ignorance. And they don’t want the masses to know the truth of their ignorance and the vulnerability of the banking system. Most people don’t seem to understand it, anyway.

    The global economy moves through cycles of boom and bust that grow ever more intense. Add to that a dysfunctional political system and it’s just a matter of time before the whole thing blows up and burns down. It almost happened in 2008, but for all the noise the yapping political bloodhounds made, they did gather in the smoke-filled back rooms and make the deals necessary to avert collapse. Next time the aversion won’t happen. It was the American government that saved the global economy in 2008 and 2009, but America shot its wad.

    We didn’t have nuclear drills in any of the schools I attended as a kid. I spent my childhood on or so near to military bases, I guess the school administrators figured what the fuck, we were in the crosshairs and no ducking and covering was going to help. Wonder if there’s an analogy there to the global financial system. A hard rain is gonna fall?

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