I have watched both episodes of this recent BBC programme, along with other similar programmes, ever since the collapse and public bail-out of the banking industry in 2008. A lot of what I thought was happening then, or which still needs to happen, as a result of the separation of the retail and investment banking interests and also a painful fall in property prices generally – more on that in future blogs – means it can be difficult to insert the line between the division banking streams. It needs to be done to avoid both temptation and moral hazard, whilst also to bring the risk-reward relationship back into line or sense.
However, I can’t help feel that pessimism makes for good TV and sells newspapers too. Although well presented, with many valid points; for example with Terry Smith of Prebon Tullett or James Dyson – of the eponymous named vacuum cleaners – making good points on re-directing of talent from top universities into industry and the City not properly remunerating them for it. This will be eventually be solved if people do not become despondent. It may take a while, but a new dark-age – albeit with electricity – should be avoided if people do not lose all hope or start hating and fighting each other. We have seen some of these elements impacting the UK, Italy, or Greece since 2009. The human characteristics that lead us to share information and ideas, trading and exchanging and the education of people should be pushed to the fore along with fiscal tightening or economic stimulus which ever side of the political debate one favours. Do this and the West will recover – in time of course.
News from the Large Hadron Collider in CERN – Prof. Brian Cox will certainly believe things are getting better… they cautiously announced they have found it – The God Particle or proof of Higgs Boson existence at the LHC in CERN. Now that is encouraging news – weird science but good all the same. Worth buying a science periodical in the next week or two.
LDC