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To: Cold Heat

The market just needs to find the prices where things (including debt) will clear.

Those prices are lower than today’s prices.

We can rack up a lot of debt just to put off the inevitable price clearing function for a short while.

Not worth it.


24 posted on 09/25/2008 7:44:27 AM PDT by NeoCaveman (End the Obamanation, Vote Maverick, McCain/Palin '08; Free Laz; Drill baby drill; Stand up for Chuck)
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To: NeoCaveman
Those prices are lower than today’s prices.

Here is the problem with your theory. The current price of the assets in question is ZERO!

They will not trade at that and everyone knows they are worth more.

This is why the market will not work, and the Fed's plan is to go in and buy up a bunch of it, thereby setting a price and restarting the system.

27 posted on 09/25/2008 7:50:08 AM PDT by Cold Heat (Well....................................That's .....that.........)
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