i may be a geek, but …

April 30, 2008

I find the idea of a shadow system in our (American?) economy deeply fascinating and disturbing.  Did you realize that very rich people are making “bets” on how our markets are going to perform, keeping these bets anonymous & totally deregulated, and making a heckof-a-lotta dough when they get it right.  (One implication here is that wealthy people are not “betting on” [or investing in] legitimate economic initiatives within the market.  Rather, they’re merely “betting” around them.  If they win – as I said – they make some quick cash.  If they lose – maybe it’s only if they lose big – average Americans like you and I foot the bill.)

Sounds crazy, huh?  (Tell me there’s something I don’t understand.)

If words like “complex derivatives, commodity futures, and otc derivatives” make your head hurt (but you’re still sort of curious to know what’s going on), you might give this interview with Michael Greenberger a try.  Seems like we oughta get some of this stuff figured out (before we all wind up living together) …

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