I can certainly see the possibility that much worse things are to come, but unlike a few years ago, when I thought a bubble was building because of federal policy, at this point, the bubble is well enough burst that it is no longer a primary concern; I have some concern about the huge volumes of countering financial flows and their secondary effects; and I’d just as soon see some stability emerge, hopefully with current equity prices for homes and stocks more or less supported by current employment levels and wages.

Though I’m far from the front lines I have a suspicion that the central players are risking going too far rather than not far enough, in introducing large new policies. On the one hand, I think some flexibility has to be kept in reserve; and on the other, I think the private sector really has to find its own equilibrium somewhere, and the public sector has to get feedback from the current policies and fine tune them and do whatever it can to take a few steps back from the fire pit wherever possible. People aren’t going to be confident in the future until they have some sene that the present is stabilized. And I don’t want to be in an uber-centralized world, I’m I guess what you’d call a “mixed economy” guy, of the 1960s variety, not a fascist or a crony capitalist.

Though I must say, it certainly seems that the markets have been pretty far from straight and true the past bunch of years. My goodness, gasoline down to $2.31 this week. I think we’d have all been better off if it had just stuck a shade under $3 on the upside and the downside rather than whipping its way up to a froth and now falling like a dead cat waiting to bounce.

When are you folks going to wake up from LA LA pollyanna land?

Are you saying that Roubini doesn’t believe the doomsday forecasts but wants to encourage Fed bailout actions anyway?

Or that he does believe his doomsday forecasts but shouldn’t tell anyone because he might influence others to take action to prevent the doomsday event?