On Wed, Oct 8, 2008 at 8:23 AM, Patrick Bond <[EMAIL PROTECTED]> wrote:
>
> But why not leave this sometimes trivial, overly-normative policy chat
> behind and get more of the structural analysis into it... and call the
> problem combined and uneven development amplified by financial bubbling,
> during a more general capitalist crisis exacerbated by the neoliberal
> regime. Isn't that the best way, analytically, to approach sub-prime?

Patrick,
This may seem trivial, but I think it is a very important discussion
because the response to the crisis is going to be very much shaped by
our understanding of what caused it. David is hardly alone in thinking
that well-intentioned efforts to help the poor at least partly led to
the crisis. I think it is important to produce the facts that show
that this is clearly not the case.

In your big picture analysis the bubble comes from a crisis of
capitalism. Fair enough. But the small pictures details are important
too. In this case there was nothing inevitable about the housing
bubble. Extensive corruption (Wall St, rating cos, regulators), fraud
(mortgage brokers) and ideological blindness (Alan Greenspan) made
this possible.
-raghu.

-- 
Seeing is deceiving. It's eating that's believing.
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