Sub-prime Turbulence - Will Govt Intervene help the market??

Comments on Federal Reserve & Central Banks pump billions into market to save the credit crisis triggerred by Sub-prime loan , original news available from: http://online.wsj.com/article/SB118673195378094167.html?mod=hpp_us_whats_news


Federal Reserve, even the whole world governments together cannot solve this problem.
This is not Lack of money, it is TOO MUCH money find no place to invest. So even inferior financial products (e.g.sub-prime loan) have attracted more than enough interested parties.
At this moment, most national govts have enough reserve, from IT boom, to prop up the market. This action is only disbursement of public wealth into a few fortunate private, not creating new wealth, nor expanding employment.

this current violent swing will continue.
this cannot sustain longer than 2 years.

At this point, wealth are playing stocks and real-estate, which are not factor of production. Therefore does not affect common people life, business profitability. when private has more wealth, they will manipulate virgin frontier, which are factor of production, energy, material, property, utility. This is inflation. Then the whole world will be in deepest of challenge.
And by then government may not have the deep chest to mitigate this.

Economy is moved by business
it is only business can create new industries.
State only facilitate.
Without Sony, etc Japan would not come up, Regan has hard time.
Without PC/Cell Phone/Network, US would not overtake Japan. Clinton had good time.

We need new industry bigger than electronics to absorb the liquidity, to create wealth, else too much brain is used to package wealth and not generating wealth.

prediction of this, including negative interest rate (sub-prime) was made as early as 2001. ("Real Economy, Reality of Economy, Economic Realities" cognose.blogspot.com, also collated in "Cognose-Recover the Lost Key to Infinite Wisdom" ISBN9810513757)

We need to create new industries bigger than Electronics, as predicted in 2001, will provide you with greater details of 8 industries that can help the world to cross this difficult moment.