Friday, August 5, 2011

further annals of the transformation pressure squad chapter 11.... okay...but if so ....why ???

"According to Joseph Stiglitz  (recent macro policy  )  has created two economies--

one economy for big banks and corporations
where money is circulating
and the other
 for small and medium sized business
where access to cash has been cut off."

this from fall 2010
still true ??? if so ..why so ??

okay say big biz runs the show
and wants to squeeze the smaller fish some
okay but why now ??

why not let em rip now and camel clutch em as the system reaches maximum
(proftably sustainable )
   output ??

do the   bankers get loose and loan freely to these mid size cats
 just when they should reign em  in ???

seems so

but why so ??

developers are of course a breed apart
nothing stops them but a credit cut off
and
 small fry of any sort
 can't be reliably seperated from mere householders
its the old separate the  pepper from the  fly shit game

but that leaves a center hunk
 what ofmid size  business folks
that rely on bank loans to sustainin bad times just as much as  grow  in good times ??

is this mid range business subject to different treatment

do the mid sized firms
caught in a "big cap dom system "
"function" best with a  system wide co ordinated credit squeeze phase  ??


over a  few whole cycles can you model why this might be so ??