September 12, 2018
Don’t Be Fooled, There Was Nothing ‘Financial’ About the 2008 Crisis
In many respects the Crash of 2008 is what inspired this site. The cronyism on the front side of the crisis and then the massive and just unbelievable crony capitalism embodied in the bailouts after the Crash served to undermine what free enterprise there still was in this country. The crisis was created by crony capitalism (the Fed and other central planners) and then the central planners saved the crony class while the rest of the world suffered. Not only that, the suffering was prolonged because of the bailouts. Had things been able to correct we likely would not have bumped along for as long as we did in the “real” economy post-Crash.
(From Real Clear Markets)
The 10-year anniversary of the 2008 financial crisis has unsurprisingly unearthed all manner of retrospectives on what happened, why it happened, and how what happened can be avoided in the future. Most don’t ring true. This essay will correct some of the myths about the run-up to 2008, while concluding that there was nothing “financial” about the ’08 crack-up.
Copyright © 2018 Against Crony Capitalism.
Reprinted with permission from Against Crony Capitalism.