Tuesday, August 20, 2013

Convinced it will end badly one day

I’m convinced. It will end very badly. It doesn’t mean it has to be tomorrow, you understand. I’m a car mechanic and I tell you, “Look, your car has several problems.” In a week’s time, you’re telling me, “Look, I’ve been driving and it still works perfectly fine.” The car may still work for another year, or two years, or three years, and one day, you have a crash. And then, you will think back, “Maybe back then I should have repaired my car.”

The problem is the car mechanic. He’s not completely stupid like a central banker. He knows how to repair a car, but the central bankers don’t know how to repair the complex financial system we have today.