We are all collectively to blame for the market meltdown of 2007-2009.
The Wall Street Journal has figured out NOT that the quants were behind the meltdown in this lovely STORY ‘The Minds Behind The Meltdown’.
There was no MIND(S) behind the meltdown, WE were MINDLESS.
You were not entitled to have a home, or forced to buy a home with money you could not afford.
Barney Frank is a dangerous idiot, but you could have shorted Fannie Mae at $40, $30, $20, $10, $5 and $2 and printed money. No quant was necessary.
The quants did not blow up the market, they just had no exits when everyone rushed out the same time. Liquidity. More sellers than buyers.
Mindlessly plowing your retirement money into stocks because you have 40 years until retirement does not guarantee you a certain rate of return. That Mutual Fund you own has been phoning in your proxy votes for two decades. You were supposed to fire those mindless twits in 2000.
Mindlessly spending on your Capital One and American Express cards is not a right, it’s a priviledge. You vote and fix the problem by cutting up your cards. I did. You will survive.
In the immortal, out of context, words from ‘The Fly ‘ (sent from his space rocket):
I know the banksters are evil and they should all be rounded up and sent to Nike prison factories in Vietnam. However, remember this asshole, without banks doing their dirty deeds, America would be a 2nd rate nation (oh, shit, irony!).
The continued financial story in January 2010 is the lack of responsibility and mindless behavior of equity shareholders who can vote with their feet and wallets.