Everything Adds Up To A Major Crisis.

The Trouble With Institutional Investors Is That Their Performance Is Usually Measured Relative To Their Peer Group And Not By An Absolute Yardstick. This Makes Them Trend Followers By Definition.

I Am Not Well Qualified To Criticize The Theory Of Rational Expectations And The Efficient Market Hypothesis Because As A Market Participant I Considered Them So Unrealistic That I Never Bothered To Study Them.

Political Debate Is More Interested In Manipulating The Truth, Than Finding The Truth.

In Certain Circumstances, Financial Markets Can Affect The So-called Fundamentals Which They Are Supposed To Reflect. When That Happens, Markets Enter Into A State Of Dynamic Disequilibrium And Behave Quite Differently From What Would Be Considered Normal By The Theory Of Efficient Markets. Such Boom/bust Sequences Do Not Arise Very Often, But When They Do, They Can Be Very Disruptive, Exactly Because They Affect The Fundamentals Of The Economy.

I Am Against Market Fundamentalism. I Think This Propaganda That Government Involvement Is Always Bad Has Been Very Successful - But Also Very Harmful To Our Society.