12 October 2008

Pricing Socialism Into the Markets.

Post Hoc, Ergo Propter Hoc. To assume that because B follows A that A therefore caused B is a logical fallacy. But logic does not of rule out a causal relationship between A and B, only that such a a relationship must be demonstrated and not assumed.

Is anyone out there asking whether the markets are tanking not in spite of the efforts of various governments, but because of those efforts? Is it not possible, likely even, that the markets are pricing in the dead weight of government "oversight"? Is it not possible, likely even, that the financial markets, which represent the sum of tens of billions of individual self-interested decisions, are voting no-confidence in the ability of governments to "manage" the economy? Is it not possible that the market has weighed and counted the real costs of relying on the goodwill and competence of the State and reacted accordingly? Mene, mene, tekel upharsin.

Just asking.

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