Old Problems & A New Day for Science

Two points, then I am going to put my blog away for the day.

First, after listening to the talking heads and politcians on TV, especially the news programs on Sunday morning, it is my opinion that there is more bull being spoken than actual knowledge about the economy or the banking and investment banking situation in the United States or around the world. No one, I repeat, no one is talking about the credit rating agencies and the key role they play in the movement of credit in the 21st century, nor their pivotal position as it relates to structured financial obligations, and the world wide bond markets. So, either these people don't understand the important role credit ratings play in the movement of credit from the borrower of credit to the investor in credit obligations, or no one has the balls to deal with the problem, the conflict of interest the CRAs have with the underwriters. Until this conflict of interest is dealt with effectively, and confidence and honesty can be brought to the credit rating porcess, the movement of credit is going to continue to go no where for structured asset obligations. The fact that TV talking heads, the print journalist, nor the politicans talk about this situation, leads me to believe that they do not understand the important role the CRAs play in the flow of credit in the 21st century. The talking they encage in misses the point.

Second, it is good to hear that science will once again take the lead in medical research. Stem cell research will now get back to exploring all possibilities. I could write more about my feelings about the Bush administration's position on science, but why bother. President Bush is gone now. Now is the time for science to prevail.

Stay tuned.