The popular explanation for the world’s economic crisis seems to be that our free markets were left completely uncontrolled and unmanaged. As a result, greedy men on Wall Street and incompetent CEOs ransacked our entire economy by earning asinine wages and making irresponsible decisions. I think this explanation sucks!
First, our free markets are more regulated and managed than at any other point in the history of our country. It’s rare that you ever hear about a rule or regulation being scrapped. New ones come all the time; they rarely ever go.
Second, the dishonesty of a bunch of Wall Street high-rollers can, AT MOST, have an effect on our economy measured in billions of dollars. Stated otherwise, it’s a drop in the bucket! Remember how the $700B bailout package is doing almost nothing? Our economy’s magnitude is measured in trillions. Bernie Madoff sinking our economy is the equivalent of me taking on a US Navy Destroyer with my BB gun.
Third, those incompetent CEOs are the world’s highest achieving business men and women. They only reached their positions after years of continued success (okay, except for Larry and Sergey). The politicians calling the CEOs incompetent, on the other hand, rarely have a track record of anything but politicking, finger pointing, baby kissing and hypocrisy. Allow me a small illustration: Everyone freaked out when the automotive CEOs flew to Washington in corporate jets. Meanwhile, Obama and McCain had been criss-crossing the nation on personal jets . . . much larger personal jets:
Does anyone else sense a double standard?
So then, what really caused all this?
I’ve read some explanations that actually make sense (not in the news of course). I will share what I’ve learned—stay posted.
