經濟,財務,統計學,數理科學與政治評論

My Dear Amerian Fellows:

  Now it is time for you to decide what the future is, but with those professonal guys' suggestions. The benefit of capitalism, I mean the better under-sceutinied capitalism, is it brings the fairness and make those one with creativity and intelligent to have their better living standards. It is nothing wrong to have those qualities for a better society. The reason we need the Dodd-Frank Act right now IS for those secret or not-public counterparties' financial transactions, like CDS or other credit derivatives. We are not sure if those transactions are made by purpose or just the unlucky decision making. So we need a transaction platform to let those information come out under the spotlight. Thus, everyone can make their own decisions to adjust themselves. It is the reason why Americans withdraw 2 to 3 billion US Dollars from their mutual funds or ETFs in the first quarter of 2012. It just shows how fragile of world financial markets and how vulnerable of the world. People lose their faith on those transaction guys and hedge funders, even those financial institutions like J.P. Morgan Chase, Deutsche Bank or Goldman Sachs. It shows people want a more scrutinized world with a better information revelation.

  Back to the issue that if the Dodd-Frank Act does not work well, what kind of disaters we may face. I think that Mr. Bernanke knows it better because he is the prefessional guy for the Japan's issue. The first sympton is we have the ultra-low bond yield that people may face the NEGATIVE real interest rate and it still CAN NOT make people to loan or borrow and create their own new business. I think American right now has the problem. The second sympton is we have lost our faith about the world and make people no interest to invest in the financial market anymore, especially stocks and those ones with higher volatilities. It makes people no dare to challenge their own lives and have faith in this changing world. It is bad for the capitalism as the well-run capitalism shows its merit on the value creation and innovations. I guess we face the issue right now, so the States has higher unemployment right now. It is not the more losing monetary policy can react or solve. I still think America is not in the distress time but in a faith-losing time. You lost your faith on the financial institutions and your governance on all those related issues. No one can help you unless you can rebuild it. Many people think that the Dodd-Frank act is a good one for the issue. But it will bring the under-table war on all financial markets around the world.