

Market Correction? Try Perma-Crisis - gatsby
http://blogs.hbr.org/haque/2011/08/market_correction_try_perma-cr.html

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api
Now throw untenable amounts of debt, peak oil, declining demographics, etc.
into the mix.

It's really chaotic. On one hand you have fossil fuel depletion and upwards
demand pressure on other natural resources having this massively inflationary
effect on the cost of energy and raw materials. On other other hand you have
the massively deflationary effect of technology: IT making tons of human jobs
obsolete, rapid prototyping, robotics, manufacturing automation, cheap
multifunction devices that do everything, etc.

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Hyena
I don't think he says anything new that's particularly useful and everything
useful said is particularly old. His major arguments against "propping up"
were made even as TARP was debated and were used to justify creating a
resolution authority that would provide a "bridge to bankruptcy" for ailing
banks so they could be liquidated in an orderly manner.

The post doesn't make me very confident in his analytic ability, though, since
he speaks of the financial system as if it were one big thing, rather than
lots of smaller interlocking things that few (no?) people understand in its
totality or connections.

