So, the investment companies which caused the problem in the first place, by inventing and selling exotic financial devices which were bound to fail, now wish to be bailed out at public expense. The anger in the streets is evident. All of this was predicted years ago. Warren Buffett warned of the toxicity of these devices, but the fast money was still being made and the public was so fascinated by the increasing value of homes that they were blinded to what was coming to a head behind the scenes.
As harbingers of the oncoming storm, the prices of Merrill Lynch and Bear Stearns in very early 2007, as displayed in Japanese Candlestick patterns, clearly showed that the prices of each of them was inevitably slated for massive declines in the coming months. So, the debacle that ensued was no surprise to those who had their eyes open. Unfortunately, they were few, and their voices were not heeded.
It is going to be a very expensive proposition to extricate ourselves from this mess. It will not just be limited to the United States, either; the disease will transmute to the European countries and to Asia as well. There will be much weeping and gnashing of teeth, and accusations will continue to fly; but they will not solve the problem. Only time and the devaluation of the dollar through the manufacture of new dollars will begin to effect a cure. It will be a very expesive proposition, and unfortunately most of the cost weill be passed on to our children and grandchildren.