Monday 29 September 2008

Bank on it!

Dark days indeed, especially if you have shares, own an overvalued house you need to sell or have lost your job and source of income.
It is little consolation that things will eventually improve and this, financial burst bubble, will become just an historic tide mark.
The ‘get-rich-quick’ syndrome is part of human nature and we are unlikely, genetic engineering notwithstanding, to eradicate it. More insight into the details of company accounts might have focussed attention years ago into banking practices which created the domino structure now causing havoc. Regulatory oversight was insufficient and/or powerless to intervene in the past and will not improve much in the future, 700Bn US$ or not, once the tide has receded. Detailed regulation is anathema to our culture, not just to our banking system.
Confidence will return, it always has, even if it requires some healing time.
The main trouble with banks is that I don’t own one.

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