One of my favourite financial blogs, The Big Picture, led us to this intellectual discussion of the current market crisis. Highly recommended for anyone seeking to make some sense of the current turmoil.
Here's an exerpt: > **GEORGE SOROS:**And it's a false ideology. Both Marxism and market > fundamentalism are false ideologies. > >
BILL MOYERS:Is there an ideology that...
GEORGE SOROS:Is not false?
GEORGE SOROS:I think the only one is the one that I'm proposing; namely, the recognition that all our ideas, all our human constructs have a flaw in it. And perfection is not attainable. And we must engage in critical thinking and correct our mistakes.
BILL MOYERS:And that's one...
GEORGE SOROS:That's my ideology. As a child, I experienced Fascism, the Nazi occupation and then Communism, two false ideologies. And I learned that both of those ideologies are false. And now I was shocked when I found that even in a democracy people can be misled to the extent that we've been misled in the last few years.
Here's a bit about George Soros from Wikipedia,
Soros' 2008 book, The New Paradigm for Financial Markets, describes a "superbubble" that has built up over the past 25 years and is now ready to collapse. This is the third in a series of books he's written that have predicted disaster. As he states:
I have a record of crying wolfÃƒÂ¢Ã¢â€šÂ¬Ã‚Â¦. I did it first in The Alchemy of Finance (in 1987), then in The Crisis of Global Capitalism (in 1998) and now in this book. So it's three books predicting disaster. (After) the boy cried wolf three times . . . the wolf really came.
He ascribes his own success to being able to recognize when his predictions are wrong.
I'm only rich because I know when I'm wrong*ÃƒÂ¢Ã¢â€šÂ¬Ã‚Â¦ I basically have survived by recognizing my mistakes. I very often used to get backaches due to the fact that I was wrong. Whenever you are wrong you have to fight or [take] flight. When [I] make the decision, the backache goes away.
Link to the complete 30 minute video: http://www.pbs.org/moyers/journal/10102008/watch.html* One of the wisest modern day quotes I can think of. Also my Archilles' Heel in trading...I guess that's why I'm not rich ... yet.