<story><title>Is a Crash Coming? Reasons to Be Cautious</title><url>http://online.wsj.com/article/SB10001424052748703723504575425723973560744.html#</url></story><parent_chain><item><author>cynicalkane</author><text>Why does this have 23 upvotes?&lt;p&gt;Nothing of any substance is stated here. Vague comments about &quot;the players&quot; and &quot;the debt&quot;--what players? Whose debt? To what extent an opinion can be extracted from this post, it&apos;s wrong. For example, I don&apos;t know who &quot;the players&quot; he refers to are, but my guess is they are &lt;i&gt;supposed&lt;/i&gt; to be for profit.</text></item><item><author>Revisor</author><text>The crash is not coming, it&apos;s just returning. The original one was never over. Its effects were just postponed by pouring money in it (aka bailouts and buy-outs).&lt;p&gt;The real reasons - ultra high debt of all players, errors in the system, for-profit players not controllable by the three political branches - were not remedied, in fact they might have been even worsened (the debt increased because of the bailouts).</text></item></parent_chain><comment><author>joe_the_user</author><text>Because it&apos;s true??&lt;p&gt;Seriously, those who have studied this for a while pretty much know the situation. Sorry if it seems vague to you.&lt;p&gt;The players are large bank, investment houses, and the Federal government at the least. But even more, the entire &lt;i&gt;housing market&lt;/i&gt; was temporarily re-inflated to sustain the massive over-valuations that built up over the last ten-twenty years. Of course, all the other bubbles; medical, student loans, etc depended on this inflating to keep going (and there&apos;s a Chinese property bubble too btw). Did you notice the auction rate bond market &lt;i&gt;cease to exist&lt;/i&gt; around the time of the crisis? We are in a fragile respite from result of the unsustainable economy of 2001-2007 (or longer).&lt;p&gt;Seriously, in 2008, a boulder rolled half-way down a hill and massive world wide spending brought it to a halt.&lt;p&gt;Sorry if I can&apos;t give a single factual pointer to all this stuff. It&apos;s more a matter of the economy&apos;s &quot;big picture&quot;.&lt;p&gt;I would recommend Doug Noland&apos;s Credit Bubble Bulletin.&lt;p&gt;I&apos;d especially recommend the earlier issue, where he extend&apos;s Hyman Minksky&apos;s idea of Ponzi finance.&lt;p&gt;&lt;a href=&quot;http://www.safehaven.com/author/2/doug-noland&quot; rel=&quot;nofollow&quot;&gt;http://www.safehaven.com/author/2/doug-noland&lt;/a&gt;</text></comment>
<story><title>Is a Crash Coming? Reasons to Be Cautious</title><url>http://online.wsj.com/article/SB10001424052748703723504575425723973560744.html#</url></story><parent_chain><item><author>cynicalkane</author><text>Why does this have 23 upvotes?&lt;p&gt;Nothing of any substance is stated here. Vague comments about &quot;the players&quot; and &quot;the debt&quot;--what players? Whose debt? To what extent an opinion can be extracted from this post, it&apos;s wrong. For example, I don&apos;t know who &quot;the players&quot; he refers to are, but my guess is they are &lt;i&gt;supposed&lt;/i&gt; to be for profit.</text></item><item><author>Revisor</author><text>The crash is not coming, it&apos;s just returning. The original one was never over. Its effects were just postponed by pouring money in it (aka bailouts and buy-outs).&lt;p&gt;The real reasons - ultra high debt of all players, errors in the system, for-profit players not controllable by the three political branches - were not remedied, in fact they might have been even worsened (the debt increased because of the bailouts).</text></item></parent_chain><comment><author>Revisor</author><text>As for the indebtedness, I was speaking about the key layers of the economy - personal/household debt[1], corporate debt and public (government) debt[2].
We&apos;ve grown accustomed to the debt as a regular part of our life, of how our households, businesses and whole countries work. This is very dangerous.&lt;p&gt;Regarding the unaccountability of the for-profit players, mind you, I&apos;m pro-free-market as anyone here. But this piece of news[3] makes you rethink what happens at the highest level of the market, how the largest enterprises become uncontrollable institutions on their own.&lt;p&gt;[1] &lt;a href=&quot;http://www.federalreserve.gov/releases/housedebt/&quot; rel=&quot;nofollow&quot;&gt;http://www.federalreserve.gov/releases/housedebt/&lt;/a&gt;&lt;p&gt;[2] &lt;a href=&quot;http://en.wikipedia.org/wiki/File:USDebt.png&quot; rel=&quot;nofollow&quot;&gt;http://en.wikipedia.org/wiki/File:USDebt.png&lt;/a&gt;&lt;p&gt;[3] &lt;a href=&quot;http://www.rollingstone.com/politics/news/12697/64796&quot; rel=&quot;nofollow&quot;&gt;http://www.rollingstone.com/politics/news/12697/64796&lt;/a&gt;</text></comment>