Almost involuntarily, my mental model for the financial bubble & burst, and ensuing crisis, is that of a pyramid scheme. The government’s responses and ‘programs’, in particular, resemble nothing so much as attempts to Keep The Pyramid Scheme Going. (I don’t know how they’d be any different if that’s what they were.) I think the below protest photo I grabbed from Calculated Risk says it pretty well, & needs no further comment:
It’s pretty depressing to think that the entire financial system may be nothing but a slo-mo, slightly more tightly-controlled pyramid scheme. But that seems to be the conclusion I’ve come to.
I am always on the lookout for counterevidence to this depressing proposition. Haven’t seen any in at least the past year.
2 Comments so far
Leave a comment