Beware The Jane Syndrome

 

Beware The Jane Syndrome

E*Trade and Wachovia are the latest casualties of the subprime debacle—the bundling of bad mortgage obligations and selling them off as individual investment “opportunities” to greedy, senseless suckers. It’s the biggest bust since the Dot-Com Implosion of 2000, where $4 trillion worth of capital evaporated, and harks back to “Tulip Mania” (1636-37) and the South Sea Bubble (1711). How can this utter stupidity be explained? Let’s start with the rarified game of curling and a woman named Jane, whose last name I have mercifully forgotten. What is going on in business is what I call “The Jane Syndrome.” You’ll also find The Jane Syndrome