Over at “The Big Picture”, Barry Ritholtz has been doing terrific work reporting on the shenanigans in the markets and the economy. Today he let rip a rant that’s worth sharing. Here’s a taste:
When this era of excess and absurdity is treated by historians in the future, the question I expect to be asked most is not why many of these people weren’t jailed for their financial felonies. Rather, I expect them to wonder why so many of these folk weren’t placed in protective custody, and heavily medicated, for the only rational explanation for their statements and behaviors is that they have gone so far beyond the bend as to be completely and totally insane.
It’s a rare day that I get to say something like this, but I think Barry Ritholtz missed the point a little in his smackdown of the WSJ Doctor the Dollar? article today:
When a currency falls as precipitously as ours has, it is, in no small part, a referendum by foreign governments (and their private investors/traders) on a country and its government. We know that the current administration is not particularly popular overseas. Its no coincidence that since they took office on January 20, 2001, the dollar has fallen ~35%.
The dollar has not fallen because foreign governments don’t like George W Bush (although he’s undoubtedly unpopular). It’s the policies this administration has implemented that have caused the dollar to weaken.