This crisis is due to the phenomena of worthless digital liquidity and fraudulent fractional-reserve banking.
If we want to solve the crisis, we have to replace these phenomena with something which has value and which is not fraudulent.

A Financial Times Lex column is arguing this morning that the crisis is not due to a “systemic failure” (inverted commas in the original) of the USA authorities, nor to the framework in which fund managers operate, but to the judgment of fund managers who willingly signed away large sums of money. (1)

A Commentary “Blind in both eyes” in the Financial Times Deutschland this morning concludes that one should never buy what one does not understand. (2)

Could it be that nobody understands money and banking?

Ivo Cerckel
Siquijor, 16 December 2008

(!)
Madoff: sterner stuff
Published: December 15 2008 13:11 | Last updated: December 15 2008 18:54
http://www.ft.com/cms/s/1/2f5a7e7c-caa9-11dd-87d7-000077b07658.html

(2)
15.12.2008 20:17
Kommentar der Financial Times Deutschland zu Madoff-Affäre – vorab 16.12.2008
 Auf beiden Augen blind
http://www.ftd.de/meinung/kommentare/:Leitartikel-Auf-beiden-Augen-blind/451972.html
http://www.faz.net/d/invest/meldung.aspx?id=92078879
SNIP
Ihre internen Abläufe und Systeme wird die SEC überprüfen müssen. Neue Gesetze bieten gegen Fälle wie Madoff dagegen weniger Schutz als die Beachtung einer alten Investmentregel: Kaufe nie etwas, das du nicht verstehst.