And yet continued evidence in support of Hyman Minsky's theories:
"I think that what happened last fall — the drastic market behavior — just put these guys in a position, you know, the cockroaches came out of the wall"
Arnold Kling agrees Minsky may have got at least part of this whole mess right. But he questions why we should bail out the "fools" that fell for such schemes. I think perhaps he forgets that many of those "fools" were hard working Americans that were either unsophisticated investors, or indirect (but nevertheless just as effected) innocent bystanders.
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