tag:blogger.com,1999:blog-19649274.post1386338127317115576..comments2024-03-29T12:03:50.891+05:30Comments on The Leap Blog: Fault Lines, by Raghuram RajanAjay Shahhttp://www.blogger.com/profile/03835842741008200034noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-19649274.post-19875929112320295822010-08-31T02:11:21.609+05:302010-08-31T02:11:21.609+05:30First Anon: You must read the book. The push for h...First Anon: You must read the book. The push for home ownership, the hunt for yield, the need for lesser-skilled US workforce not feel left behind by giving them home equity, the "too systemic to fail" setup - all good stuff. <br /><br />The book is incredible. My only complaint is that he writes so much in each paragraph I have to stop and let my thoughts wander through the picture he creates. <br /><br />I'm not sure I agree with all his conclusions, especially his asides on efficient markets, but the book does make you think. I also felt that some of the suggestions he provides in terms of regulatory overhaul or market reform are either easily game-able or too difficult to enforce. (That's another blog post) The book, though, is a must read.Deepak Shenoyhttps://www.blogger.com/profile/04209677935830502120noreply@blogger.comtag:blogger.com,1999:blog-19649274.post-32365276009561213192010-08-20T15:07:15.443+05:302010-08-20T15:07:15.443+05:30Whoever you are Mr Anonymous, clearly you lack the...Whoever you are Mr Anonymous, clearly you lack the ability to distinguish between analysis and opinions and between public policy and private businessAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-19649274.post-49865782612448578972010-08-15T21:46:22.967+05:302010-08-15T21:46:22.967+05:30lol@ too much savings.
I haven't read the boo...lol@ too much savings.<br /><br />I haven't read the book but what you have said is not factual.<br /><br />Yes, there was a push for home-ownership in the US but it was done to paper over the stagnation that came after the dot com bubble burst.<br /><br />Most of the subprime business was pushed by the private sector. There was even an article where Countrywide executives were shown to have pretty much threatened Freddie Mac (or was it Fannie Mae) with consequences if the latter doesn't go along with their push to go into the subprime market.<br /><br />Blaming government regulations is easy but the truth is that regulations were rarely if ever enforced. The saintly private sector did not regulate themselves as we were told over the past decade.<br /><br />Did Mr Rajan touch on the huge expenditure by the US on its military and defense? I am sure being the establishment-academic (similar to courtiers of the past), he must have been quiet about that.<br /><br />Whether a child in China saves for 4 grandparents or 2. The fact remains that somebody has to save to pay for the retirement. Money doesn't grow on trees though it can be printed in large amounts. When it comes to paying out, there is virtually no difference between individuals saving money and the government doing the same.<br /><br />Moreover, privately managed pension funds have been the rage in among academics. By those standards China is heaven where people manage their own retirement savings rather than make the government do it. Right?<br /><br />The lies of these academics is something to behold. Don't these people have any shame?Anonymousnoreply@blogger.com