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Take the loss is something every rookie trader learns - why don't policymakers get it, asks...

Take the loss is something every rookie trader learns - why don't policymakers get it, asks Barry Ritholtz. The near-entirety of government policy over the past few years has been an exercise in refusing to take the loss. The results are in: economies continue weak and many leading banks are zombie institutions.
Comments (6)
  • Tony Petroski
    , contributor
    Comments (6368) | Send Message
     
    We hoped for change but didn't get it. Taking the loss would involve change. Instead, 2 trillion dollars went to keep government workers in their jobs and pensions. Yesterday our Chief Tsar was stumping for a jobs plan that will "keep teachers in their jobs."

     

    We still hope for change.
    28 Sep 2011, 08:18 AM Reply Like
  • Steve Soden
    , contributor
    Comments (663) | Send Message
     
    We're in for a long, long period of poor economies World Wide for years to come.
    All this to keep the rich, rich and the middle class barely kicking.
    I guess it could be much worse, I think....................
    I'm sticking with Real Estate and Rental Returns.
    Good luck to everyone else.

     

    Steve
    30 Sep 2011, 02:51 AM Reply Like
  • youngman442002
    , contributor
    Comments (5129) | Send Message
     
    Because as a politician if you help out your banker.....he will send you a big re election check....its easy to spend someone elses money...the politician....its a small group..bankers and politicians..who cares about the plumber from Ohio.....no one in DC or New York...
    28 Sep 2011, 08:22 AM Reply Like
  • Stoploss
    , contributor
    Comments (1727) | Send Message
     
    Because five hundred plus politicians are unable to muster ONE brain between all of them.

     

    Just think how much further along we would be now, if the banks were left to burn, with their liar loans.

     

    They ALL lied, the lenders, the borrowers, the banks, and the pols.
    The barn is already burning, why fight the fire with a thimble?

     

    Let it burn to the ground, and build a new one.
    28 Sep 2011, 08:30 AM Reply Like
  • Neil459
    , contributor
    Comments (2644) | Send Message
     
    Barry, you just don't get it. Policy makers consider themselves making the big gain. They think the public does not mind their big vote buying ponzi scheme. They give money away and then they get reelected. Where is the loss?
    28 Sep 2011, 08:32 AM Reply Like
  • tjohn1
    , contributor
    Comments (152) | Send Message
     
    As a trader I know how difficult it is to take a loss. But I take losses any way some times very late. I take a hit when I defer my losses. We human beings never want to admit our errors. I agree that the governments should take losses. I also believe Americans should concede that their high standard of living is no longer possible and stop demanding high wages. This applies to the top executives also. Then may be America becomes competitive once again. Americans also stop depending on the government for their high living. May be then we reverse our decline!
    28 Sep 2011, 09:30 AM Reply Like
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