Wednesday, February 18, 2009

Stress test and testing new lows: are we or banks under test, stress or stress test?

Geithner's "Stress Test" for Banks is a Stress Test for America. The debate is hot here and here. Lemon banks (read previous posts for this definition) are undergoing stress test according to Gethneir's plan just to buy them time against the backdrop of nationalization (NO THANKS! and/or creation of good banks. Somebody likes to "remember that there is nothing like this in Geithner’s Financial Stability Plan, so it is unlikely to happen". I would like to add that with sufficient thrust, pigs fly just fine. Are good banks like pigs now or the battle of lemons versus lemons should continue?




In the meantime,
stock markets are testing November 20th bear market lows and Japan and US start really to look like, not only for the past and ongoing depression and banking crisis, to draw lessons from, but also in their respective stock markets index as Dow Jones and Nikkei have the same quotes. I thought you might be interested in this chart. I found it on Yahoo! Finance today.


Do you feel stressed now and would like to get your stress test like banks?

The picture posted here has 2 identical dolphins in it. It was used in a case study on stress levels at Loma Linda Medical Center.
Look at both
dolphins jumping out of the water. The dolphins are identical. A closely monitored, scientific study of a group revealed that in spite of the fact that the dolphins are identical, a person under stress would find differences in the two dolphins. The number of differences observed matches closely to the amount of stress the observer is experiencing.
Look at the photograph and if you find more than one or two differences you may be experiencing stress...


I simply conclude with a say from Verona, Italy in dialect "quando i mussi i volerà" or “when donkeys fly” or "when pigs fly"...the GOOD BANKS get going.

4 comments:

Hal Horvath said...

heh heh :-)

DocG said...

I am definitely stressed! Thanks for making me aware of that. :-)
Interesting blog. Should I put a link to it on mine? Should I, should I? Hmmmmm. Maybe if you changed the title of the blog itself to The Unbearable Lightness of Being an Economist. That would definitely be an improvement -- and would look good on my link list. :-)
Just a thought. http://amoleintheground.blogspot.com/

M.G. said...

Title changed. Thanks for the suggestion.

DocG said...

Ok -- done! (Uh, you left out an "an".)

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