Matoda.com posted a write-up of an interview with Warren Buffet on CNBC. This is his take on why people repeatedly make mistakes that cause stock market crashes:
[when it comes to] greed … you can’t stand to see your neighbor getting rich. You know you’re smarter than he is, and he’s doing these things, you know, and he’s getting rich, and your spouse is getting unhappy with you because you aren’t — pretty soon you start doing it. And so you get what I call the natural progression, the three I’s: the innovators, the imitators, and the idiots.
