FROM THE DAILY RECKONING DEC 31, 2008 EMAIL

Economies are not machines. Instead, they are organic, natural phenomenon in which the principal actor – man – is subject to fits of brutal sanity, interspersed by long periods of hallucination in which he is trying to get something for nothing. Fundamentally, it is a ‘moral’ system, not a mechanical system. When people make mistakes they have to pay for them.