tag:blogger.com,1999:blog-1248503935075362425.post2529785493558978215..comments2024-03-26T07:58:59.761+00:00Comments on I'll think of something later: St Paul's: what's the problem?Davidhttp://www.blogger.com/profile/14506881804082382739noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-1248503935075362425.post-72183006334588430172011-10-24T19:04:49.753+01:002011-10-24T19:04:49.753+01:00Howard Lane refers to " the fundamental insta...Howard Lane refers to " the fundamental instability of unregulated systems" That was my point. There is no system that does not need regulating, and the failure was not the tremendous mechanisams that have arisen in the last decades but the fact that they were not correctly regulated. The deregulation of the eighties was valid since it removed outdated practices. Undesirable regulation should have been replaced by new controls and disclosures.<br /><br />Never forget that the new devices such as derivatives can vastly increase the efficiency with which capital is employed, to the great benfit to all members of society. But like the apple that Eve gave to Adam these devices have provided us with the knowledge of good and evil, and it is the fault of ourselves - essentially our governments - if we do not use this knowledge correctly. But do not blame the tools<br /><br />You can blame in onto Adam<br />You can blame it onto Eve<br />You can blame it on the apple -<br />But that I can't believe<br /><br />[PS These views were put forward in an official international arena in 1994 by a body of international investors. Modesty prevents my mentioning the chairman]David Damantnoreply@blogger.comtag:blogger.com,1999:blog-1248503935075362425.post-57140557101275555982011-10-24T11:46:53.402+01:002011-10-24T11:46:53.402+01:00Interesting. Howard, you're right about the st...Interesting. Howard, you're right about the structural rethink, though the path is vital - it will have to be achieved through government and due democratic process. What I'll be interested to see is if any of the proposals put forward by Occupy translate into legitimate action. At least they're getting plenty of media attention to try and clarify some of their better-articulated points.<br /><br />To add to the grey area of the cathedral's health and safety issues, it seems that a spokesman for Occupy claims that the H&S committee of the City of London has no problems with the way they're conducting themselves.Davidhttps://www.blogger.com/profile/14506881804082382739noreply@blogger.comtag:blogger.com,1999:blog-1248503935075362425.post-55622761156252239792011-10-24T01:45:40.707+01:002011-10-24T01:45:40.707+01:00Interesting discussion sparked by the non-Liszt pa...Interesting discussion sparked by the non-Liszt part of your post. I remember when the Occupy Wall Street protests started up over here,I had trouble deciphering the message and tried to think what it should be. Over here, I think a lot would be gained if the 1933 Glass-Steagall Act were reenacted (it was repealed in 1999), but I'll admit that placards reading "Reenact Glass-Steagall" just don't have the ring (back in the day) of "Make Love, Not War."Susan Scheidhttps://www.blogger.com/profile/09250142489341777926noreply@blogger.comtag:blogger.com,1999:blog-1248503935075362425.post-5129036769616893952011-10-23T14:33:42.807+01:002011-10-23T14:33:42.807+01:00Sadly the study of complex systems ('cyberneti...Sadly the study of complex systems ('cybernetics' although this doesn't mean computer science), which has made clear the fundamental instability of unregulated systems for decades, is not on the vote-catching and profit-reporting agendas of our politicians and financiers.<br /><br />But anti-capitalist protesters recognise this and, free of vested interest, are proposing a total structural rethink. In this at least they have a better understanding of the situation.<br /><br />The current government take shelter behind condemnation of Labour's years of mismanagement but are silent about who deregulated the system in the first place: 'In the UK, Big Bang became one of the cornerstones of the Thatcher government's reform programme.'<br /><br />http://en.wikipedia.org/wiki/Big_Bang_%28financial_markets%29Howard Lanenoreply@blogger.comtag:blogger.com,1999:blog-1248503935075362425.post-38825981538948836752011-10-23T10:17:29.526+01:002011-10-23T10:17:29.526+01:00I agree that the comments made by some of the prot...I agree that the comments made by some of the protestors have been sensible. But I maintain that the first fault, and the first route to solutions, lies with the authorities. A first year MBA student would have condemned the balance sheet of Northern Rock - what were the regulators doing? ( this oversight is unbelievable - it was staring out of the accounts) If the central banks flood the economies with money, is it surprising that the bankers extended themselves too far? How many of the protestors would have refrained from making a million by taking steps enabled by all that money?<br /><br /> Something must be done and governments representing the people must do it: and by employing tools already to hand. I think (difficult to see exactly) that the lessons have been learntDavid Damantnoreply@blogger.comtag:blogger.com,1999:blog-1248503935075362425.post-36477606590923144672011-10-23T09:51:29.516+01:002011-10-23T09:51:29.516+01:00I think that, though their beefs are manifold and ...I think that, though their beefs are manifold and sometimes vague, many of the more informed ones are, like you, saying that capitalism per se makes the world go round, but that the recent behaviour of the banks has to change. And I agree. They're trying to find ways, not just shouting 'death to capitalism'.<br /><br />But as you know, this can't be summed up in two paragraphs.Davidhttps://www.blogger.com/profile/14506881804082382739noreply@blogger.comtag:blogger.com,1999:blog-1248503935075362425.post-8965403020780784512011-10-23T09:49:35.281+01:002011-10-23T09:49:35.281+01:00The protestors outside St Paul's Cathedral jus...The protestors outside St Paul's Cathedral just do not look at the fundamentals. No economic system can run fault free by itself, not even the best one, the free market. The recent economic crisis would have been far less severe, and more easily managed, if governments had not overspent, central banks had not prostituted the money supply, and regulators had controlled the risk profile of banks. These authorities - unlike the bankers - had no personal financial interest in assuming that the good times would last for ever. Yet we had the disgraceful statement by Gordon Brown " I have abolished boom and bust". What the psychologists call the Madness of Crowds is more widespread than in the banking parlours.<br /> <br />But wait! What if - in say 2002 or 03 - the government had refused to spend more on the Health Service, banks had been forced to restrain their activities, interest rates had gone up curbing house purchases and making existing mortgages more expensive? What would the Red Tops have said? Would there have been protests on the steps of St Paul's about the ruthlessnes of men in grey suits and their reactionary financial policies?David Damantnoreply@blogger.comtag:blogger.com,1999:blog-1248503935075362425.post-88896600935586772772011-10-23T03:37:05.634+01:002011-10-23T03:37:05.634+01:00I've made only a couple passes at Liszt--and a...I've made only a couple passes at Liszt--and a third now with the disk that came this month of orchestra works. For whatever reason, he doesn't seem to hold my attention (certainly not like this wonderfully insane Turangalila, which I'm listening to now). Perhaps I'll try those Etudes . . .Susan Scheidhttps://www.blogger.com/profile/09250142489341777926noreply@blogger.com