As a follow up to my post on "Why You shouldn't listen to Ben Bernanke" I showed you an interesting video that shows him denying bubble's in the housing market before it popped, and the horrific stock market crash that occurred. Now, I don't expect people to have a crystal ball, but if a news reporter asks what he thinks about a possible housing "correction" I'm pretty sure this guy already knew it was coming. Now, why am I restating all of this? Because Time magazine, laughably, named him "Person of the Year."
Not to say I would want his job, but if your idea to save the economy is: make money cheap so banks, and the federal government run up their credit and hope for the best, then that is not very inventive. That is basically what every low income family that has lost their job is resorting to, and it only makes problems worse. It will work similarly on the micro as it will on the macro! Now, I understand that the Time magazine award is for people who have affected the world "for better or for worse." But it sounds like they think it is for the better.
Don't get me wrong, Bernanke seems like a cool guy. I would most certainly hang out with him, but person of the year? We haven't even begun to see the effects of his decisions. This is like giving the award to a person who has the intention of going back in time. I think that in a few years we'll be able to look back on this and realize how big a farce this is. At least, I hope we'll have that ability assuming cataclysmic destruction of our economy does not ensue. Do I hope I'm wrong? OF COURSE! I hope that in a few years Bernanke can call me up laughing saying "You remember how you said I didn't deserve man of the year? I guess you were wrong."
But everything in me looks at what decisions are being made, and what the logical outcome may be, and I just think that the decisions are being arrived at for the short term outcome, and the long term is not being considered.
Not to say I would want his job, but if your idea to save the economy is: make money cheap so banks, and the federal government run up their credit and hope for the best, then that is not very inventive. That is basically what every low income family that has lost their job is resorting to, and it only makes problems worse. It will work similarly on the micro as it will on the macro! Now, I understand that the Time magazine award is for people who have affected the world "for better or for worse." But it sounds like they think it is for the better.
Don't get me wrong, Bernanke seems like a cool guy. I would most certainly hang out with him, but person of the year? We haven't even begun to see the effects of his decisions. This is like giving the award to a person who has the intention of going back in time. I think that in a few years we'll be able to look back on this and realize how big a farce this is. At least, I hope we'll have that ability assuming cataclysmic destruction of our economy does not ensue. Do I hope I'm wrong? OF COURSE! I hope that in a few years Bernanke can call me up laughing saying "You remember how you said I didn't deserve man of the year? I guess you were wrong."
But everything in me looks at what decisions are being made, and what the logical outcome may be, and I just think that the decisions are being arrived at for the short term outcome, and the long term is not being considered.
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