Thursday, February 18, 2010
Hyper-Leveraged Economy Always Doomed
H/T Financial Armageddon
International investment bankers outsmarted themselves -- and devastated the global economy -- by going much too far out on the leverage limb. Governments went along, because the money was just too good.
In other words, your government -- like the large investment banker -- is clueless as to how to grow a healthy economy. Governments will try to spend their way out of a financial hole, regardless of the level of pre-existing debt. You might ask Greece how that is working out for them.
Your government is out for itself. You had best take care of yourself while you still have time.