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Civicsman · 02-09-2009, 10:54 AM

Well, it was clear from the start that this forum isn't the place to try to argue politics and personal beliefs on global warming, and science in general.

The current economic mess is a classic example of an uncontrolled system, defined in this case as "free market capitalism". People (LOTS of people worldwide) saw a way to make lots of money and they jumped on it. It was kind of like a ponzi scheme, except without regulation, it was completely legal. Now it has crashed. This is referred to as a "free market correction". This innocuous-sounding event has cost millions of jobs and destroyed lifetime savings worldwide....so far. But, this is exactly what one expects from an uncontrolled system.

I once worked for a Forbes 100 company. I was lucky enough to be invited to a presentation by one of the men who had taken the company from humble beginnings to the top of the heap; a capitalist if there ever was one. He drew a sine wave (hills and valleys), and described the job of the top managers in the company as simply, "Make both the hills and valleys smaller". He understood that uncontrolled growth also fosters uncontrolled losses. Both sides must be managed.

I think that's a good analogy for what government should strive to do (as no other entity is capable of it), and I think that's exactly what they are trying to do right now with the stimulus programs.

For those not familiar with history, read up on the Great Depression. After the stock market crash, the US government adopted a free-market, do-nothing strategy, just as some here are proposing. Without management, the system collapsed. Unemployment went to 25-30%. This failure lasted almost 10 years, before a massive government spending stimulus program (World War II), put an end to it.

That's a pretty good example, I think, of what CAN happen when regulation and control of those hills and valleys is inadequate, and also a good example of a governmental economic jump start that worked.

In conclusion....... cars aren't selling. If that doesn't change soon, you ain't seen nuthin' yet.

02-09-2009, 10:54 AM	#23
Civicsman Senior Member Join Date: Jul 2007 Location: Freedonia! Posts: 1,703	Well, it was clear from the start that this forum isn't the place to try to argue politics and personal beliefs on global warming, and science in general. The current economic mess is a classic example of an uncontrolled system, defined in this case as "free market capitalism". People (LOTS of people worldwide) saw a way to make lots of money and they jumped on it. It was kind of like a ponzi scheme, except without regulation, it was completely legal. Now it has crashed. This is referred to as a "free market correction". This innocuous-sounding event has cost millions of jobs and destroyed lifetime savings worldwide....so far. But, this is exactly what one expects from an uncontrolled system. I once worked for a Forbes 100 company. I was lucky enough to be invited to a presentation by one of the men who had taken the company from humble beginnings to the top of the heap; a capitalist if there ever was one. He drew a sine wave (hills and valleys), and described the job of the top managers in the company as simply, "Make both the hills and valleys smaller". He understood that uncontrolled growth also fosters uncontrolled losses. Both sides must be managed. I think that's a good analogy for what government should strive to do (as no other entity is capable of it), and I think that's exactly what they are trying to do right now with the stimulus programs. For those not familiar with history, read up on the Great Depression. After the stock market crash, the US government adopted a free-market, do-nothing strategy, just as some here are proposing. Without management, the system collapsed. Unemployment went to 25-30%. This failure lasted almost 10 years, before a massive government spending stimulus program (World War II), put an end to it. That's a pretty good example, I think, of what CAN happen when regulation and control of those hills and valleys is inadequate, and also a good example of a governmental economic jump start that worked. In conclusion....... cars aren't selling. If that doesn't change soon, you ain't seen nuthin' yet.