An enormous hoax has been perpetrated on global financial markets during the past 10 years. An American economy based on opening containers from China and selling the contents at Wal-Mart, or trading houses back and forth, provides scant profitability. Where the underlying profitability of the American economy was poor, financial engineering managed to transform thin profits into apparently fat ones through the magic of leverage.
Sunday, September 21, 2008
Another Corner Heard From
The always-irritable but often correct Spengler at the Asia Times comments on the financial crisis.
Posted by Assistant Village Idiot at 7:47 PM