Professor, your comments about the market will be true when the real world approaches the assumptions for the models upon which they are based.
Here are a couple of links for you to consider.
How Did Economists Get It So Wrong? Paul Krugman
Source:NYTimes
Squeezing workers worsens US downturn - George Megalogenis
Source:The Australian
Greenspan Concedes to `Flaw' in His Market Ideology
Source:Bloomberg