Saturday, July 2, 2011

Munger: Megalomania, Insanity Caused Financial Collapse

By Nelson Hem Benzinga Staff Writer

Charles Munger, vice chairman of Berkshire Hathaway (NYSE: BRK-A), is known for telling it like he sees it. At a Pasadena conference on Friday, he had a few words to say about financial sector collapse of 2008.

"The bubble in America was caused by some combination of megalomania, insanity and evil in, I would say, investment banking, mortgage banking," Munger told the audience at a "Morning with Charlie" event.

He also took swipes at the accounting industry, former Lehman Bros. CEO Dick Fuld and Federal Reserve Chairman Alan Greenspan, whom he said had "totally overdosed on Ayn Rand at a young age."

Of course it is not the first time he has spoken bluntly. Earlier this year he said Greek citizens "don't want to pay taxes or do much work." Back in 2009, he called cap and trade "monstrously stupid."


More Here..

12 comments:

  1. Glad someone has the balls to say it the way it is; there aren't many!

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  2. RunasfastasyoucanJuly 2, 2011 at 9:20 PM

    Most of our fellow readers ALREADY know “the current economic system” is collapsing right before our eyes.

    ReplyDelete
  3. Independence day
    “Foreign observer” asks if it is American culture or permitted that the tens of millions on food stamps can buy a hot dog and a six pack using food stamps on Independence Day ?

    I wish I could congratulate a free America with a free people on US independence day , but all I can observe is a subservient nation of debt slaves . A people that strangely believe they are living in freedom in the richest kleptomaniac elite owned country in the world. This is a nationalist , ideological economic or, religious faith type of belief.

    The struggle for independence began with a cry against monarchy for economic independences and democracy “no taxation without representation” but elections these days appear to be controlled by the money power cultivating “public opinion” and fear in the MSM they own by news manipulation and analysis.
    In order to install their own representatives to expand taxation of the people and none for the rich.

    After a financial coup even the US treasury and the sovereign power to create money appears to be under the control of an international cabal of privately owned banksters representing a financial elite that own Americas future, by owning the so called national debt .The national debt is a claim for control of the future tax government tax revenues.

    The biggest part of this national debt that has bankrupted the American superpower has been created to pay for holy wars and cold wars for the ;free world .Wars for oil in or against the independence and for puppet support or regime changes in other counties. And for CIA control of the world drug business.

    The budget and dollar printing press is at their command. Even the financial losses of these kleptomaniacs are freely socialised .
    Currently with the rabid support of the American people the US is fighting wars with hundreds of military bases ,drone ombers and troops on the ground in many countries ,in a war “against terror”, against drugs and.for freedom to control of and pricing of oil in dollars and other nice Empire things . The latest being a piratical bombing of an independent sovereign country Libya for the purpose of supporting regime change and assassination of another independent leader and family members at the personal instruction of its semi-monarchical boss withy or without congressional approval or finance.
    All this adds to the national debt for the bondholder class.

    It is said that the US is governed by the rule of law on behalf of “we the people” as embodied in a Constitution ,a fruit of peoples struggles in the war for independence ,but this appears to have been superseded now by patriot acts and presidential/monarchical orders,or laws as justified or “constitutionally “interpreted “ by politically appointed judges in a
    Supreme court.

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  4. Money Talks in Munger Megalomania language too.

    So ,Greeks should just suck it up like americans ,to save these criminals from losses?

    "The bubble in America was caused by some combination of megalomania, insanity and evil in, I would say, investment banking, mortgage banking," Munger told the audience at a "Morning with Charlie" event.

    So after telling us that America was basically a criminal Ponzi enterprise where Munger and Buffet raked off billions as the good guy deserving beneficiaries of the bailouts .
    He only wants to blame the evil financial sector not his kind of property and insurance company speculators or the government facilitators ,regulators, rating agency con men etc.
    None of this “evil” elite goes to jail !

    And Munger says there should have been bigger bailouts for capital!
    …people may wonder whether Munger’s statements are influenced by Berkshire’s large holdings in Wells Fargo & Co. (WFC) ($8.5 billion), the U.S.’s biggest home lender, as well as its $5 billion investment in Goldman Sachs Group Inc. It happens that Munger’s financial interests do line up with his words.

    “Suck it up”Americans says Munger
    see
    http://www.bloomberg.com/news/2010-09-21/billionaire-munger-offers-us-a-false-choice-alice-schroeder.html

    ReplyDelete
  5. Its gonna get uglyJuly 3, 2011 at 6:47 AM

    Its gonna get ugly people.....very, very ugly

    ReplyDelete
  6. Many in the US bought a better car than they could afford (or needed, just because she wanted it). Bought a bigger more luxurious house than they needed (just because she wanted it). More this and more that (just because they could). It is all downhill now. And guess what baby-boomers, you will ALSO be taking for a ride in the coming REAL depression. Happy Dependance day....

    ReplyDelete
  7. Not so 2:21

    The baby boomers have enough stuff in my rental
    storage units to live quite comfortable for
    decades.

    ReplyDelete
  8. As lame as baby boomers are, most of you under 40 are their offspring. That means you're a degenerate form of baby boomers. Isn't that why your children are called Generation Z? Because we can't possibly get any worse than you!

    ReplyDelete
  9. 5:11
    I'm 39 and I'm generation X, thank you very much.

    ReplyDelete
  10. This is wonderful dialogue people!!!!!!
    This is just what we want! hatred between age groups, class, and race.
    Yes this is feeding the New World Order.
    Please keep hating each other hate with each other with all the fury you can muster!!!
    Soon very soon the age of darkness will come to rule this world!

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  11. We are heading off the cliff, be prepared to JUMP

    ReplyDelete
  12. 9:01 yep. The global bankster families' plans would fall apart in a day if people would disregard their systems of control; racism, fake religions, national BS pride, and all the other nonsense scripted to cause divide among the sheeple.

    Then attention would fall directly on the elite and what they are doing. Luckily for the banksters they have an unlimited supply of distractions lined up to keep the attention off them. Sports, TV, idiots with fireworks celebrating our 'independence'. Nauseating.

    ReplyDelete

Everyone is encouraged to participate with civilized comments.