It’s hard to decipher which vcs are legit just via twitter, but it’s a lot easier when you understand the true definition (and check their past investments to match it).
I am not an economist. My point of view might seem by turns Neandertal, Marxist, or anti Tech.
A) You said that we may be suffering from a lack of innovations. I think we are suffering from a deluge of innovations..
Example:
i) The New York Times reported, a few years ago, about a new form of medical malpractice: Doctors' errors occasioned by the onslaught of technical changes, in the equipment they used, that they could not keep up with.
The Times reported that some doctors had given patients drastically inflated and carcinogenic quantities of radiation because the radiologists were overwhelmed and perplexed by incessant software upgrades
ii) The quality of written expression: Writers are so damn busy mastering ever new and superfluous communications technologies that they don't have time for literary excellence. I am sick of the emoticoms, I am sick of noisome flickering images on my computer screen. I want a quiet background graced by, and sparkling with, stuff that shines like Shakespeare.
B) There is too much investment capital:
i) Too much wanton spending and investment bids up the price of goods and services and makes like more unaffordable for common folk
ii) Too much investment capital creates spiraling booms which leads to paralytic crashes, e.g., Before 2007, a superfluity of money in the hands of the big boys led to a real estate boom, which led to a crash, which gave us the great recession.
Hey fam, not sure point B) ii is as true as you may think it is. A lot of factors were at play in the real estate crisis and the GFC. Foolish regulatory practices, including outsourcing the duty of CDO ratings with no real oversight and guaranteeing home loans are just two that encompass both positive actions and negligence by governing authorities at that time.
Markets are incredibly efficient when properly regulated, when not however, they are pretty inefficient and "ponzi-esque".
A few questions for Ethan Rife, whose comments are quite brilliant if problematic.
First, a few introductory things.
1) Do you see on your computer screen, next to my name, David Gottfried, the words "Writes Mad Dogs and Englishmen." (That is the name of my newsletter on here) Are you able to click on the name of my newsletter.
2) The second word you used in your post was "fam." I assume this is an abbreviation. What did you mean when you said "fam."
3) My knowledge of economics is largely incidental, i.e., I learned a few things, here and there, from basic eco courses in college, from law school, from my interest in politics, and from life. My knowledge of economics was never systematic. Consequently, some of what you said may have gone "over my head." You used many abbreviations and I don't know what they stood for.
THE MEAT AND POTATOES OF MY RESPONSE TO YOUR POST:
a) You said that the real estate crisis was brought on by various factors, including ubiquitous leveraging. However, when people buy realty, they usually borrow money.
More importantly, the real estate crisis of 2008-2009 was in large measure created by those financiers that you may laud and celebrate (I take it that you are gung ho about capitalism). More specifically, financiers, in particular those CONSUMATE CROOKSS AT GOLDMAN SACHS, engaged in a lot of dirty dealing with CREDIT DEFAULT SWAPS. They bet that the market on subprime mortages would collapse. The collapse of the subprime mortage market was facilitated by the insertion of more and more clauses, in contracts with lenders, which required that late payments would result in increased rates and charges. This ensured the avalanche of defaults. When the market collapsed, a bunch of thieves made a fortune because they had bought what were essentially put options which bet that the market on subprimes would collapses. In any event, this sparked the real estate depression and this engendered the Great Recession.
b) You said that markets and/or capitalism was very efficient.
And what does this efficiency entail? It means that the total dollar sum of all goods and services produced will rise like yeast. And what does this entail? It entails the destruction of more and more lives by layoffs, by chronic unemployment, by adhesion contracts that rob people every day, by evictions, by homelessness.
Capitalism was hailed in Adam Smith's, "The Wealth of Nations."
I submit to you a very counter-intuitive proposition:
The wealth of A Nation is often INVERSELY PROPORTIONAL TO THE WEALTH OF THE CITIZENS OF A THAT NATION:
For example:
In the year 1900, England stood at the apogee of Nations in terms of its wealth, power and influence. And in the year 1900, the English people were among the poorest people in the Western world. London had grand and graceful and gilded salons where the super rich fancied themselves the finest people on earth, and London had the most squalid slums teeming with rabid rats, starving children, dozens of crippling infectious diseases and ceaseless sorrow.
Hey that’s quite a long response and it’s my weekend. I don’t argue with people over chat forums but if you want to have a formal discussion or debate shoot me dm or email and we can hop in a Google meet or zoom for ~20 minutes!
You’re good man not a burden at all, I just wanted to make sure I could give proper care and attention should we have a longer conversation. I appreciate your zeal for helping others and making the world a better place!
It’s hard to decipher which vcs are legit just via twitter, but it’s a lot easier when you understand the true definition (and check their past investments to match it).
I am not an economist. My point of view might seem by turns Neandertal, Marxist, or anti Tech.
A) You said that we may be suffering from a lack of innovations. I think we are suffering from a deluge of innovations..
Example:
i) The New York Times reported, a few years ago, about a new form of medical malpractice: Doctors' errors occasioned by the onslaught of technical changes, in the equipment they used, that they could not keep up with.
The Times reported that some doctors had given patients drastically inflated and carcinogenic quantities of radiation because the radiologists were overwhelmed and perplexed by incessant software upgrades
ii) The quality of written expression: Writers are so damn busy mastering ever new and superfluous communications technologies that they don't have time for literary excellence. I am sick of the emoticoms, I am sick of noisome flickering images on my computer screen. I want a quiet background graced by, and sparkling with, stuff that shines like Shakespeare.
B) There is too much investment capital:
i) Too much wanton spending and investment bids up the price of goods and services and makes like more unaffordable for common folk
ii) Too much investment capital creates spiraling booms which leads to paralytic crashes, e.g., Before 2007, a superfluity of money in the hands of the big boys led to a real estate boom, which led to a crash, which gave us the great recession.
Great points. By innovation, I mean those solutions for pressing problems, not solutions looking for problems (aka the latest bill run in many cases).
Hey fam, not sure point B) ii is as true as you may think it is. A lot of factors were at play in the real estate crisis and the GFC. Foolish regulatory practices, including outsourcing the duty of CDO ratings with no real oversight and guaranteeing home loans are just two that encompass both positive actions and negligence by governing authorities at that time.
Markets are incredibly efficient when properly regulated, when not however, they are pretty inefficient and "ponzi-esque".
The real estate boom happened because of the selling of poorly graded CDO's and mass use of leverage encouraged by the state by lack of proper regulation. More information here: https://www.thebalance.com/what-caused-2008-global-financial-crisis-3306176
A few questions for Ethan Rife, whose comments are quite brilliant if problematic.
First, a few introductory things.
1) Do you see on your computer screen, next to my name, David Gottfried, the words "Writes Mad Dogs and Englishmen." (That is the name of my newsletter on here) Are you able to click on the name of my newsletter.
2) The second word you used in your post was "fam." I assume this is an abbreviation. What did you mean when you said "fam."
3) My knowledge of economics is largely incidental, i.e., I learned a few things, here and there, from basic eco courses in college, from law school, from my interest in politics, and from life. My knowledge of economics was never systematic. Consequently, some of what you said may have gone "over my head." You used many abbreviations and I don't know what they stood for.
THE MEAT AND POTATOES OF MY RESPONSE TO YOUR POST:
a) You said that the real estate crisis was brought on by various factors, including ubiquitous leveraging. However, when people buy realty, they usually borrow money.
More importantly, the real estate crisis of 2008-2009 was in large measure created by those financiers that you may laud and celebrate (I take it that you are gung ho about capitalism). More specifically, financiers, in particular those CONSUMATE CROOKSS AT GOLDMAN SACHS, engaged in a lot of dirty dealing with CREDIT DEFAULT SWAPS. They bet that the market on subprime mortages would collapse. The collapse of the subprime mortage market was facilitated by the insertion of more and more clauses, in contracts with lenders, which required that late payments would result in increased rates and charges. This ensured the avalanche of defaults. When the market collapsed, a bunch of thieves made a fortune because they had bought what were essentially put options which bet that the market on subprimes would collapses. In any event, this sparked the real estate depression and this engendered the Great Recession.
b) You said that markets and/or capitalism was very efficient.
And what does this efficiency entail? It means that the total dollar sum of all goods and services produced will rise like yeast. And what does this entail? It entails the destruction of more and more lives by layoffs, by chronic unemployment, by adhesion contracts that rob people every day, by evictions, by homelessness.
Capitalism was hailed in Adam Smith's, "The Wealth of Nations."
I submit to you a very counter-intuitive proposition:
The wealth of A Nation is often INVERSELY PROPORTIONAL TO THE WEALTH OF THE CITIZENS OF A THAT NATION:
For example:
In the year 1900, England stood at the apogee of Nations in terms of its wealth, power and influence. And in the year 1900, the English people were among the poorest people in the Western world. London had grand and graceful and gilded salons where the super rich fancied themselves the finest people on earth, and London had the most squalid slums teeming with rabid rats, starving children, dozens of crippling infectious diseases and ceaseless sorrow.
Hey that’s quite a long response and it’s my weekend. I don’t argue with people over chat forums but if you want to have a formal discussion or debate shoot me dm or email and we can hop in a Google meet or zoom for ~20 minutes!
Have a good one🤙🏼
I didn't mean to burden you with such a long response. It is the weekend, and I am sorry if you thought I was intruding on your weekend. Tale care
You’re good man not a burden at all, I just wanted to make sure I could give proper care and attention should we have a longer conversation. I appreciate your zeal for helping others and making the world a better place!