In another thread, lazygood4nothinbum posted a really interesting link to an NPR segment talking about the origins of the mortgage meltdown:
NPR Media Player
Essentially, they're saying that the "global pool of money" suddenly exploded. The amount of investable money increased way beyond the capacity of the system to handle it.
My question is, if too much money was the root of the problem, where does that leave us? Will a lot of it "disappear" as a result of the meltdown, leaving us back to reasonable investing options? If not, then where are investors going to put it? It seems like we still have the problem, and it will just come out someplace else in the next go-around.
NPR Media Player
Essentially, they're saying that the "global pool of money" suddenly exploded. The amount of investable money increased way beyond the capacity of the system to handle it.
My question is, if too much money was the root of the problem, where does that leave us? Will a lot of it "disappear" as a result of the meltdown, leaving us back to reasonable investing options? If not, then where are investors going to put it? It seems like we still have the problem, and it will just come out someplace else in the next go-around.