Published 9/3/09, The Livingston County News, Geneseo, NY 14454.
The End of Wall Street as We Know It
by
Dave Kansas
This little 196 page paperback is jam-packed with easy-to-understand economic information about the 2008 financial crisis—what we need to know and how to survive it. It is a Wall Street Journal Guide by one of its former editors.
It includes 26 sidebars explaining things like derivatives, rating agencies, bank runs, Federal Reserve, Libor, past crises, Fannie Mae and Freddie Mac, FDIC, holding companies vs. investment companies, and regulation history. Also included are profiles of Alan Greenspan, Robert Schiller, Henry Paulson, Tim Geithner, Ben Bernanke, and Warren Buffett.
The End of Wall Street as We Know It
by
Dave Kansas
This little 196 page paperback is jam-packed with easy-to-understand economic information about the 2008 financial crisis—what we need to know and how to survive it. It is a Wall Street Journal Guide by one of its former editors.
It includes 26 sidebars explaining things like derivatives, rating agencies, bank runs, Federal Reserve, Libor, past crises, Fannie Mae and Freddie Mac, FDIC, holding companies vs. investment companies, and regulation history. Also included are profiles of Alan Greenspan, Robert Schiller, Henry Paulson, Tim Geithner, Ben Bernanke, and Warren Buffett.
Eight short chapters explain “risks” many entities took; the “financial wizardry” of derivatives that aren’t regulated; the warning signs (He calls them “canaries,” like those miners have used to warn about poisonous fumes.); the “tsunami” of 2008; the “new world order” needed for the unregulated portion of the financial world; what is now “safe” or not; “debt and destruction;” and “investment strategy” now for young earners, middle-aged, and those near or at retirement.
One wonders why the U.S. is spending so much when the crisis seems to have been caused by profligate spending of Americans, corporations, and the financial sector. Can government spend with immunity?
For those worried about foreign governments’ financing our borrowing, Kansas believes that China, for example, will continue financing us so we will continue purchasing their goods. Is it not paradoxical that 2/3 of our economy depends upon consumption by Americans, but over-spending and over-consumption contributed to the problems?
Kansas urges prudence and planning and very careful analysis of any new regulation. This writer wonders who is going to watch or regulate the regulators, like a Greek question: Who will guard the guardians?
The chapters on “safety” and “investment strategy” seem very worthwhile. The lack of an index, however, makes finding specific topics difficult.
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