Wretchard,

Mindless happiness is not any better than the mindless gloominess some push. However, having somewhat successfully reached the early 40s I have seen and remember our economy cycle through a number of ups and downs. I remember seeing my 401K tank and seemingly miraculously reappear as if a phoenix. I have seen the GOP arise from its malaise and gain control of the nation and then lose it again.

Right now prophets of disaster are common and many are eager for doom prophecies. A wise warrior once advised to discount all early reports – in defeat they are way pessimistic and in victory more optimistic than reality. Its called focus and everyone needs to focus on the things that are most dear to them.

I have every confidence we will muddle our way through the current economic crisis — that we’ll cycle through things – home prices will find their level and home buying and building will resume (IIRC home buying jumped by a fairly large percentage in the last reporting period) and that the toxic assets like any toxin will be absorbed and slowly dealt with — that their toxicity will not kill us.