Crisis? What crisis?

Of course we have a crisis, people lose jobs, companies go bankrupt and all explained on the basis of greed, lack of regulation and wall street walking on clouds. Some people argue that the good times was just an illusion. Well, if the economic growth, wealth creation and the excess profits of the last few years were an illusion, shouldn't then an illusion's fall and demise also be an illusion? That's the only logical conclusion you can make if you accept the premise of the illusion.

So it wasn't an illusion and we have a real crisis which means we did have real growth and wealth creation. Is it simply changing hands now in which case the crisis is a process of wealth reallocation and ensuing disruption? Or is wealth actually destroyed at a level below the one that existed before excess growth building began?

Physical wealth in the US, Europe and Asia is not being destroyed. We are not experiencing a World War. With the exception of oil depleting and a climate changing, bridges, roads and buildings are still in place. So the major destruction is mainly happening to the intangibles. That's why prices fluctuate like crazy.

Isn't the creation of intangibles, however, infinite? If you look at history and also believe in human nature then you must accept its ability to create new intellectual words out of old ones.

I am optimistic. To those who argue previous wealth creation and economic growth was just borrowed time and an illusion, I rest my case.

Crisis? What crisis? It's just an illusion!

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The GIA Bill of Regulations

How about we name the new laws that will be drafted to regulate the financial system in the US as the GIA Bill of Regulations? GIA will be the reverse of AIG's initials. The innovation in the acronym will be its dual use and multiple i-substitutes. How you read out GIA will depend on how effective the new laws will be in containing future greed and irresponsibility. If the GIA Bill of Regulations fails to restrain gambling and irresponsible risk, people can refer to it as Grow Irresponsibly America. The adverb 'Irresponsibly' can be substituted by any such words as illegitimately, illegally, insanely, inscrutably, incomprehensibly, idiotically, inattentively, ill-advisedly etc.

On the other hand, if the bill produces a stable, well-regulated financial system, people can refer to it as Grow Intelligently America with such i-substitutes as intelligently, insightfully, ideally, indefatigably, impressively etc. The name of the agency that will supervise the laws will be called, what else, Greed Intelligence Agency.

www.thinkaloo.com