The Global Financial Crisis: Causes and Consequences
Posted by admin in Finance Wednesday, 26 May 2010 00:47 35 Comments
Speaker: Alan Greenspan, President, Greenspan Associates LLC; Former Chairman, Federal Reserve Board Presider: Peter G. Peterson, Founder and Chairman, Peter G. Peterson Foundation; Chairman Emeritus, Council on Foreign Relations (Oct 15, 2009 at the Council on Foreign Relations. C. Peter McColough Series on International Economics)
@patnais102 wrong on every level. You can drive a model T if you think nothing has changed.
what causes innovation if competition doesn’t?
Yep.
dot com
Too bad,Peter Peterson was at one time very smart,looks like he has “gone to the darkside” with Greenspan.
Greenspan should be in prison!
Its funny how many “experts” are giving up explaining things with facts and are using words like,hope,belive,would-have,should-have,the math was telling the story if they had bothered to look.
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The concept of “Perfect Competition” never can exist, and is an idealist concept.
Doesn’t say this in every introductory economics text?
That’s why the developing world is a good demonstration of capitalism.State don’t intervene, the big companies come they eat the smaller and everybody have to work for international corporation until the wage got a little higher then they leave and let the people starve.That’s pure capitalism , that’s how we developed our society (with national industries so they can’t leave , we closed our borders to foreign industries).We created union to re-balance things and they created globalisation .
The private sector only add some useless accessory to make things flashy. If you take a product of the private sector , let say car.Have car innovated in the last 100 years? I would say no , yes they go faster and use less oil but the principle is the same after 100 years , they tried to made them change (who killed the electric car) but they didn’t want to change they preferred keep it the old way, less expensive more profit. Our current system encourage stagnation.
People see one industry doing good they all go into it but if everyone is doing it the gain will diminish and the last arrived in the party will pay the price.That’s why crises are normal , with an uneducated mass who react like animals,people don’t think by their self. They only look at others doing good and try to duplicate them instead of innovating and trying to think further , it lead where we are now. No evolution com from the private sector it all come from the public but get privatized.
This whole theory of new competition goes against every logic. If a company or several companies earn higher than normal profits for a period of time it is clear to me that this or those industries will become in a situation of Cartel ( having much more resources than their competitor they can afford more promotion, more lost(disloyal competition, that’s why the state use price floor), head hunting etc.)On the other hand you just described how bubbles are created.
I meant, “until the whole industry is earning Normal Profits equal to zero.” and “suddenly Normal Profits will be higher than zero in the industry.” Sorry for the errors.
A cartel can come into being only if the gov interferes into this market-only process. Remember one of the defining features of capitalism ideal is Perfect Competition.
In the ideal of capitalism, new companies are being created all the time in capitalism. The number of firms in an industry will continue to grow (despite many failing) until the industry as whole is earning Normal Profits (at which point the industry is 100% saturated). However, if at that point a few firms fail, there will suddenly be higher than Normal Profits being earned in the industry, and that will be an incentive for new firms to enter again.
just like communism*
Kenya , Cambodia ,Gabon and Mexico.Capitalism is more or less a phase just like.You can have competition at the beginning but at the end there is only an handful of company who survive and establish a cartel(oligarchy) or one (monopole). If you read people like Adam Smith you realize his idea can not be apply in our modern era. It base it self on false assumption (infinite resource and the omniscience of the elite (which are basically the invisible hand of the market).
Where in the developing world were you? I see capitalism as a Utopian ideal, which has not existed in the real world (yet). I think there are economies that exploit its features to prosper, but in a limited sense and with set backs.
Krugman is literally licking Ben Bernanke’s balls.You could have said William K Black or Stiglitz at the limit but
Krugman is definitely part of the game.
i wouldn’t lump Krugman with those guys. I don’t really consider him a free market capitalist
Greenspan the moron responsible for negative real interest rates leading to asset speculation.
@BottleCapsound
simple ….we have an oligarchy , off off shore bankers..men without countries I call them …
this scumbag should just go away .
coup de ta ….by bankers and dereg
just go ahead and give pelosi, gore etc all your money
The american republic* just saw your page lol
Bosses are for idiot just like dogs , sorry I got non of those.Un pug, quel crétin fini , chien écoeurament laid. Habituellement à l’image de son maître, aktemone.Ce que l’on ne sait pas ne fait pas mal ,mais peut nous tuer.
What happened to america happened to every single empire before.When Athenian started preferring the paelasta to the agora it was the end of the athenian empire( Your republic died 40 years ago with the end of the draft, just like the roman).
You are right this is corporate welfare but don’t think capitalist country are doing better. I’ve been in the developing world, where you can see real capitalism and believe me you prefer corporate welfare (which always existed by the way from royal companies to Microsoft)
it says a whole lot about the american people of the past century. overly righteous and towards the end of the last century, arrogant n stubborn. america and its people assumed that the world will go along with them as the rest of us are incapable of thinking ourselves. the ‘altruistic’ americans allowed the apparent imbalance of the global economy in the last century. we r sick of carrying the america burden
[...] The Global Financial Crisis: Causes and Consequences | Finance [...]
[...] The Global Financial Crisis: Causes and Consequences | Finance [...]
[...] The Global Financial Crisis: Causes and Consequences | Finance [...]
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[...] The Global Financial Crisis: Causes and Consequences | Finance [...]
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[...] The Global Financial Crisis: Causes and Consequences | Finance [...]
[...] The Global Financial Crisis: Causes and Consequences | Finance [...]