Dear readers and authors, allow me to bring you a piece by Almahera Idris. Almahera is our first freelance contributor. Hopefully she will become a permanent contributor. Thank you Almahera.
Excuse Me While I Puke
By Almahera Idris
As much as I worry about the state of things to come, I can’t help but feel disgusted.
When times are good, they roll around in profit and pay themselves big fat paychecks and hefty bonuses.
When times are bad, they turn to Uncle Fed for help.
In essence, profits are kept private, while losses are borne by the public.
When times are good, recklessness and imprudence is justified in the name of market competition and market innovation. Regulatory authorities are viewed with disdain.
But when things turn awry, everyone suddenly turns to these same authorities for help, and increasing calls are made for “tighter regulations” and “greater risk management”.
You can’t have the best of both worlds. You can’t be greedy.
If, in good times, you want to be unbridled and let the “forces of the market” guide you, then you should be prepared to let these same forces clean things out once in a while. Let that same market, that which you had so fervently worshipped, rebalance the wealth that you had so greedily and recklessly squandered.
But what about systemic risk, you say?
Did you even think about that when you were hot-stamping “innovation” all over your rotten assets?
Excuse me while I puke