There is no credit crisis. If you work for a medium-size nonfinancial company, try phoning up your banker and asking for an overdraft. If he says no, that would be a credit crisis. He will say yes. Phone up a mortgage broker and ask if he can get you a standard mortgage. He'll say yes. There is no credit crunch. There's a buyer strike in some bonds. So what. Some people are going to lose money on high risk investments. That's what high risk means. But there are an awful lot of twisted knickers around at the moment, in the face of the fact that there *is no credit crunch*. Speculators playing around and falling over each others' toes is one thing, but the phrase "credit crunch" refers to a situation in which normal nonfinancial companies cannot obtain working capital loans. They can. Look at single A commercial paper spreads if you want a proxy indicator to monitor for any future credit crunch.
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