This post from Marc Andreessen talks about some of the marketing behind private equity decisions, and how it's resulted in quite the mess. Combine this with the high debt load of Americans, the mortgage situation, and the need for sovereign wealth funds to parachute in money to keep our lenders and banks solvent, and, well, it makes me think that maybe things are as bad as they seem.
My primary concern is with artificially sustaining the industry against the rising tide of recession or, dare I say, depression. I'm beginning to wonder if we're still actually feeling the effects of the Great Depression, in that market control and regulation implemented in the wake of that collapse are now artificially prolonging bad decisions, inflating the market, and preventing an adequate self-correction.
But I'm not an economist... so, take these comments for what they are: concerned speculation.