sep 22nd, 2008
the one person who's been running around saying "the emperor has no clothes" is s. gurumurthy. he's been saying "there's something wrong when taking on debt is considered virtuous" and "the japanese are saving a lot, and that's considered a vice". have to give him credit for his instinct that the endless accumulation of debt is not really a good thing.
the one person who's been running around saying "the emperor has no clothes" is s. gurumurthy. he's been saying "there's something wrong when taking on debt is considered virtuous" and "the japanese are saving a lot, and that's considered a vice". have to give him credit for his instinct that the endless accumulation of debt is not really a good thing.
4 comments:
Very True. Gurumurthy has always faulted the western economic model for a long time and has now been proven right.
http://www.mail-archive.com/assam@pikespeak.uccs.edu/msg00470.html
I had a doubt. Like Japanese and Chinese, why are Indian financial companies, moving into to get a stake in the US financial institutions? I know its scary to loose money, but still I think there is good bargains out there for LIC, UTI, SBI etc. Or is it that we need the investments for internal infrastructure development?
Any thoughts?
@ Gopinath,
I don't think buying these companies / hedge funds / investment banks is a good deal. If it were the Europeans, Japanese and possibly Russians would be gobbling things up; instead they have waited for the US government to buy toxic assets.
I think ICICI got burned playing with these - someone told me they have created a reserve (scary thought - I have considerable savings in ICICI NRE deposits)- but overall these are not worth the money
Thank you. I see the news today that Warren Buffett, is investing $5B in Goldman Sachs. Sure he should have some insight there. There is some bargain there, not in the purchase of debts, but the assets I mean.
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