4 ms·

Germany has this. They’re not a poor country.

by ArchitectAnon 6y ago

valuearb 6y ago
And their best finance people go to the US to make more money.
- minikites 6y ago
  Oh no, whatever will we do without finance people who work to make imaginary numbers go up on a spreadsheet? Our whole economy would collapse!
  - valuearb 6y ago
    What would we do without nerds to type commands into an editor? When you don’t understand what another persons value really entails, it’s easy to make fun of. Warren Buffett is in finance, has never used a spreadsheet, and built a business that employs over 400,000 people.
    - minikites 6y ago
      Look at the charts here: https://en.wikipedia.org/wiki/Financialization https://en.wikipedia.org/wiki/Financialization Their entire job is to inflate the price of existing assets. There is no other productive purpose, this money is not being re-lent for people to start businesses and it is not serving any other practical purpose, it's literally "number go up". >The securities that were so instrumental in triggering the financial crisis of 2007-2008, asset-backed securities, including collateralized debt obligations (CDOs) were practically non-existent in 1978. By 2007, they comprised $4.5 trillion in assets, equivalent to 32% of U.S. GDP. That's 4.5 trillion dollars in imaginary money that isn't serving any purpose. Even Warren Buffet agrees: >Warren Buffett (who famously disparaged CDOs and other derivatives as "financial weapons of mass destruction, carrying dangers that, while now latent, are potentially lethal"
      - valuearb 6y ago
        I think your ignorance is breathtaking. All of that money is either investments, loans or hedges. Just because they got mis-priced in 2006 doesn’t mean CDOs aren’t a useful financial tool. Warren Buffett also wrote derivatives. They are useful contracts for hedging and insurance. The financial industry dies far more than just CDOs. Do you think there is no place for market making, investment management, underwriting, etc, etc? I guess by making a companies stock and debt easier to market to a wider range of customers is “inflating” their value?

Germany has this. They’re not a poor country.

valuearb 6y ago

And their best finance people go to the US to make more money.

minikites 6y ago
Oh no, whatever will we do without finance people who work to make imaginary numbers go up on a spreadsheet? Our whole economy would collapse!
- valuearb 6y ago
  What would we do without nerds to type commands into an editor? When you don’t understand what another persons value really entails, it’s easy to make fun of. Warren Buffett is in finance, has never used a spreadsheet, and built a business that employs over 400,000 people.
  - minikites 6y ago
    Look at the charts here: https://en.wikipedia.org/wiki/Financialization https://en.wikipedia.org/wiki/Financialization Their entire job is to inflate the price of existing assets. There is no other productive purpose, this money is not being re-lent for people to start businesses and it is not serving any other practical purpose, it's literally "number go up". >The securities that were so instrumental in triggering the financial crisis of 2007-2008, asset-backed securities, including collateralized debt obligations (CDOs) were practically non-existent in 1978. By 2007, they comprised $4.5 trillion in assets, equivalent to 32% of U.S. GDP. That's 4.5 trillion dollars in imaginary money that isn't serving any purpose. Even Warren Buffet agrees: >Warren Buffett (who famously disparaged CDOs and other derivatives as "financial weapons of mass destruction, carrying dangers that, while now latent, are potentially lethal"
    - valuearb 6y ago
      I think your ignorance is breathtaking. All of that money is either investments, loans or hedges. Just because they got mis-priced in 2006 doesn’t mean CDOs aren’t a useful financial tool. Warren Buffett also wrote derivatives. They are useful contracts for hedging and insurance. The financial industry dies far more than just CDOs. Do you think there is no place for market making, investment management, underwriting, etc, etc? I guess by making a companies stock and debt easier to market to a wider range of customers is “inflating” their value?