Paul Krugman: Solving the Financial Crisis


September 24, 2011, 9:14 AM


Never mind all the bleak stuff I’ve been writing lately. A solution is at hand! All we need to do is use some of those faster-than-light neutrinos to send a message to the past, warning them not to deregulate (and not to let Greece join the euro).
Failing that, there are always those fake space aliens.
1.
Florida
September 24th, 2011
11:31 pm
Tribbles are not fake, Professor - their biological make up is the solution to our problems of not enough growth and demand !

We eagerly await confirmation and verification that the CERN scientists are seeking, even though Fermi Instituters say ' this will cause us a lot of problems '.
2.
Ivan F
New York
September 24th, 2011
11:31 pm
I'm still waiting. I guess we haven't sent that message to the past yet. Or worse, yet, we did send it, and it was rejected by the same policy makers who also deny the existence of faster-than-light neutrinos.
3.
Phillip Wynn
Cincinnati
September 24th, 2011
11:31 pm
Even if this finding is correct, the "speed" difference is so minuscule that I expect you could beam a message only slightly back in time.

In which case I suggest that you send back the message ... to stop depressing us so much! : )
4.
US
September 24th, 2011
11:31 pm
Now see, I think we should a pulse to the past and tell them to prevent Shatner from signing up to do TJ Hooker.

I mean, if you are looking for a mono causal answer to everything, I'm pretty sure TJ Hooker is it.

max
['I mean, talk about a bad vibe.']
5.
Brian
Manteca, California
September 24th, 2011
11:31 pm
In addition to fake space aliens there is also cleaning up after wayward space satellites.
6.
Jared
Lancaster PA
September 24th, 2011
11:31 pm
You forgot civil war.
7.
Atlantic City, NJ
September 24th, 2011
11:31 pm
Aahh, an alternate time line! A time machine of sorts...where the micro info needs to travel faster than the macro in order for the small stuff to add up to the large stuff without rounding! Nicolas Tesla had a way to provide free information and free power to the globe...and wound up in a banking crisis...forced to walk the plank by the notorius Captain M. Interesting, legend has it Tesla left the map for construction of a time machine in his apartment when he died.
8.
SE PA
September 24th, 2011
11:31 pm
If only.

Even if it were proven possible and for the common good, I'm sure the Tea Party would ensure there would be no "gubment funding" of such a science project. Not only would they abhor the role of government in research but they would also fear that we could go back far enough to prove the world wasn't built inside of a week and that creatures evolve. Well... most creatures.
9.
samos2
Portland, OR
September 24th, 2011
11:31 pm
Not so much! A better solution is for Elizabeth Warren to get elected then clone about 400 of her!!!
Ocean City, NJ
September 24th, 2011
11:31 pm
Could you also include a brief note about those “weapons of mass destruction” and “we’ll be greeted as liberators” things? Thanks.
Sue H.
Schoharie
September 24th, 2011
11:31 pm
Thanks for the belly laugh!
New Jersey
September 24th, 2011
11:31 pm
Why didn't I think of that?!
Don A
Pennsylvania
September 24th, 2011
11:31 pm
Maybe all those congresscretins are waiting for a message from the future to tell them what to do now.
Charleston, SC
September 24th, 2011
11:31 pm
My bleak: "Rep. Clyburn said today: “Our tax code should reflect what we value as a society; current system says we value wealth more than we value work. Fundamentally unfair!”

That unfairness is represented by those who will tell you strawberries have thorns, apples worms—that danger lurks everywhere. Then calls come for more sacrifice to invisible fairies against the real threat of Congress’ self-inflicted collapse.

And those in government who sacrifice the grave responsibilities of freedom, who say believe in fairies, would have us think they are fighting for truth."
--Walter Rhett
twitter.com/walterrhett
Frank
Boston
September 24th, 2011
11:31 pm
I respect you immensely but save the comedy for Colbert.
Michael Laing
Geneva, Switzerland
September 24th, 2011
11:31 pm
Unforunately the political/banking network may yet evolve into the Eschaton and prevent such as causality violation! (Stross/Singularity)
James
Stony Brook, NY
September 24th, 2011
11:31 pm
Sadly, these are probably more realistic possibilities than the expectation of an intelligent and timely response from politicians.
Mark
Wilmington, DE
September 24th, 2011
11:31 pm
Doesn't the famed Brooksley Born Experiment suggest that the message would be ignored?
Maryland
September 24th, 2011
11:31 pm
Only, due to our defunding any basic particle physics laboratories like CERN, we can't create any of these particles, so we can't send such a message even if they actually exist.
beaconps
PA
September 24th, 2011
11:31 pm
Don't tell the HF Traders about this new development.
Rich888
DC
September 24th, 2011
11:31 pm
How about to the Florida elections hoard about those chads......
donika gjoka
athens
September 24th, 2011
11:31 pm
not professor i dont play with my SENTIMENT..eveythink is beyond of truly..
if i have power to srceem S and my voice come antill there ..maybe one day i find this power and all with be how i wanted..You know what? allwayes god is in my side. never let me down. i wanted with all my heart you be king of world because you desevert.. is not shame to sayt S .. it not my choic shame is to to bad bad thinks..and i am very clearly ..i am sorry i make problem to you believe me i did not wanted ..many time i am scary to write because i dont want you to be in difficult place Is not my choice everything for some reson happening and i believe that ..i am very honest in what i say ..what i have to do / I L Y and this is not bad .in my ease you are my l ... allways in life come somthing new ..and is up to us how to excpect all this ..i m very happy and nobody i dont let me feell guilty..thank yous and very sorry for the situation i bring to you..
Atlantic Beach, NY
September 24th, 2011
11:31 pm
I knew the solution resided somewhere deep inside Europe. Well done, sir.
Explore to expand our sphere of economic activity
Montreal
September 24th, 2011
11:31 pm
Or the reciprocal... We become the aliens. Heehee
A Populist
Wisconsin
September 24th, 2011
11:31 pm
Mr. Krugman:  I like the "Neutrinos  to the past" idea!  I couldn't agree more that the securitization was key in foisting the risk onto unsuspecting parties.  Otherwise, there's no cash to finance the bubble.

However, I was also thinking, that if we had not had a big trade deficit, that maybe the housing bubble would have made the labor market much tighter, fueling inflation, and popping the bubble much, much sooner.

Not arguing against Brooksley Born, or regulation (I'm for it), just wondering about the additional necessary ingredient for this fiasco.

Speaking of the trade deficit with China:  What do you think of Warren Buffett's "Voucher Plan", to balance trade with China?  Obviously, you would need to do something like that very gradually, like issue vouchers with a variable "exchange rate", and start the program with zero effect, and gradually change the  exchange rate until trade is balanced.  Have you looked at this idea?  Are there obvious reasons it won't work?

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