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Phases of a bubble_Kindleberger-Minsky(1)

Phases of a bubble_Kindleberger-Minsky(1) - The Road to...

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Credit Writedowns circle6 About circle6 Banking Crisis Timeline circle6 Blogroll circle6 Credit Crisis Timeline circle6 Finance Data circle6 News Feed circle6 Reading List circle6 Subscribing « M&T sues Deutsche Bank over CDOs « » SoCal home prices plumb new lows » The Road to Revulsion hide Google Search Results You arrived here after searching for the following phrases: circle6 minsky circle6 phases of a bubble Click a phrase to jump to the first occurrence, or return to the search results . This newsletter from John Mauldin arrived in my inbox this morning. If you haven’t read his newsletters they are very good, including those from Guest commentators like this one from James Montier. I will add the text in full. It is quite long. In a future post, I’ll give you my thoughts on bubbles and how to prevent them. Expect something along the lines of Mises or Rothbard from the Austrian School. A preview of my own thoughts on bubbles can be found in the post, “ The U.S. Economy 2008 .” Montier is one of my favorite economic commentators. His pieces are always thought provoking. I intend to recycle another of his posts called “Scepticism is rare” in a future blog entry. The Road To Revulsion Posted Jun 16 2008, 10:25 PM by John Mauldin What does a bubble look like and how do they end? In this week’s Outside the Box, James Montier of Societe Generale in London looks at not only the psychological analysis, but also at the propensity for commentators to continually proclaim the end of the problem and a resumption of business as usual. He includes a fascinating piece from Marc Faber documenting the various quotes about how well the economy was doing from 1928-32. This makes for fun, if a little sobering, reading. To quote from his summary: “We have seen the heads of virtually all financial institutions stand up over the last few months and claim the worst is behind us. Why would anyone listen to these people? They didn’t see the disaster coming, and yet somehow they Brenham mortgage primeres.instantlender.com Call me for USDA Rural, FHA, VA, Texas Vet, or No Money Down Programs AT Home Job Opportunities homebizopps7.com Proven Top Rated Stay At Home Job Develop $3500 A Day At This Job Ads by Netklix Page 1 of 14 The Road to Revulsion | Credit Writedowns 12/19/2008 http://www.creditwritedowns.com/2008/06/road-to-revulsion.html
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are qualified to tell us it is all alright! Perhaps I am just unduly sceptical, but this reeks of a conspiracy of optimism. The recession has barely started, let alone reached its nadir. The market moves of late have all the hallmarks of a classic sucker’s rally. This isn’t discounting the recovery, this is denial! Far from being behind us, the worst may well still be ahead!” I think you will find this letter very interesting.
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Phases of a bubble_Kindleberger-Minsky(1) - The Road to...

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