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Wednesday, June 30, 2010

BANKER'S HOLIDAY

Did we miss the boat?
Did the financial experts not understand the effect of zero interest rates.  We needed low rates to stimulate credit but the unintended consequences of allowing banks and hedge funds and wall street firms the ability to borrow at next to zero % and, if nothing else, invest in US Government bonds yielding upwards of 4%, for a quick profit seems to have been overlooked.  We could have prevented it.

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