Tuesday, August 27, 2019

'This time is different' fraud

Insiders Don’t Criticize Other Insiders
A telling anecdote involves a dinner that Ms. Warren had with Lawrence H. Summers, then the director of the National Economic Council and a top economic adviser to President Obama. The dinner took place in the spring of 2009, after the oversight panel had produced its third report, concluding that American taxpayers were at far greater risk to losses in TARP than the Treasury had let on.
After dinner, “Larry leaned back in his chair and offered me some advice,” Ms. Warren writes. “I had a choice. I could be an insider or I could be an outsider. Outsiders can say whatever they want. But people on the inside don’t listen to them. Insiders, however, get lots of access and a chance to push their ideas. People — powerful people — listen to what they have to say. But insiders also understand one unbreakable rule: They don’t criticize other insiders.
I is actually worse.

The insiders have to secretly check the group before expounding some new result.   But technology is ahead of the game, and the new result is widely discussed by outsiders, and insider always late to the game, cyclic.  This effort at conspiracy is why we are cyclic.

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