Monday, February 27, 2012

Math & the Ponzi Mix Like Oil & Water

You have heard the old adage the math never lies. Well, you can make it fib a little while if you're a Goldman Sachs investment banker hiding Greek debt in offshore Enron-esque investment vehicles to elude EU entrance scutiny. Or maybe a long while if you're an about to lose his fitness model trophy wife if you don't get your 7 figure bonus Wall St. exec hiding toxic paper in structured investment vehicles from auditors but over time, yes, the math never lies.

What happens when the math and a Ponzi scheme meet is kinda like when Superman and kryptonite meet, they don't do well at all. The math and the ponzi mix like oil and water. Today, we get news, via the Telegraph and the UK's Chancellor of the Exchequer, of the following admission: George Osborne: UK has run out of money.

The money quote, no pun intended;

“The British Government has run out of money because all the money was spent in the good years,” the Chancellor said. “The money and the investment and the jobs need to come from the private sector.”

To quote the famous office cleaning company owner in the original Oliver Stone movie Wall Street; "Thank you for telling me what I already know." Or as many women on the planet are apt to say: "Men state the obvious."

Welcome to planet earth 2012. Please ensure that your seat backs and tray tables are in their upright and locked positions

No comments: