From the product description:Dean Baker argues not only that competent economists should have recognized the developing housing bubble, but also that policy makers and the media cheerfully neglected those economists who did predict danger.The really sad thing is that not only did policy makers and the media ignore those who predicted danger, but they largely continue to ignore those who predicted danger.
The Huffington Post has a new interview with Dean Baker here.
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To our friend who wants to go into forex:
ReplyDeleteFrom the Telegraph:
"Quite a significant correction in the euro is coming in the next few months. The European Central Bank (ECB) is behind the curve in getting to grips with its economic problems," said David Buik of BGC Partners. He added that the eurozone entered recession later than other economies, but policy-makers had been too slow to act, putting the currency at risk.
The global recession means that the euro is facing its strongest test since its launch a decade ago as the less productive countries such as Spain, Greece and Italy have failed to match the efficiency of some of Europe's faster growing economies.
Last week the ECB cut interest rates to a record low of 1.5pc and further rate cuts are expected. The ECB now expects that the eurozone economy will contract between 2.2pc – 3.2pc this year, after previously forecasting a fall of zero – 1pc.
Again - not saying all currencies are toxic. Its just the usual suspects (Pound & Euro) are (IMHO) due for a beatdown because their governments will eventually do the same thing the US is doing to the dollar.
Bottom line is do your homework. I thought forex was a safe haven for the $$ til I realized not only are most currencies printing, but they are lagging the dollar. Theres gotta be a safe play out there, but honestly, I dont know what it is.
It was me that was talking about putting money in foreign currency. However, I was thinking something that isnt tied to US consumers as much as the Euro or Pound. Anyone that relies on americans buying their stuff, like say Japan, would probably be in serious trouble for the next few years.
ReplyDeleteI think the upshot is that all of us need to be paying close attention to the things that are going on, and be prepared to make rapid and perhaps even 180 degree changes...
ReplyDeleteHe says the housing crisis is over as of August first. I wonder how many books he is going to revision when it falls apart in 2010! LOL
ReplyDeleteI always find it interesting when people write books well after the crisis stating they knew about it. To coina phrase, Those who cant "do" teach and those who cant "teach" write books about how they saw everything before everyone else! If he truly saw everything and believed what he saw he would be the richest man in the world but of course he "aint". Just another book to sell to financially uneducated fodder.
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