I didn't want to say it, but I told you so :-P

While I was sitting in the jury waiting room today, I was going through last week's issue of Newsweek and catching up on my reading. I came across an article by Daniel Gross entitled, "Reigning In Bubbles So They Won't Pop" and I instantly thought of my Panic! at the Banks! post from last fall. In it I mentioned how I thought that there should be some sort of watchdog which would spot and curtail bubbles before they get carried away and take us into dangerous territory. D. Gross says the same thing and suggests the need for "automatic brakes" on these bubbles. From my understanding, this seems very Keynesian in nature. Basically zig when the economy zags. I guess we've all gotten accustomed to going with the flow when the good times are rolling and then dealing with the hangover when the party's over. But maybe if we had some self-control at the party, we wouldn't have to deal with a hangover the next day. Pump the economy when we're down and reign us in when the bulls are stampeding - pun intended. They call me mellow yellow.