Instability

I'm still trying to decipher a recent Krugman post. This bit of it in particular caught my eye:

"John Cochrane, on the other hand, says that it’s all because George W. Bush gave a scary speech."

The "it" in that sentence is the financial crisis. Cochrane says we had a financial crisis because President Bush created a panic. I'm looking for Cochrane's version of what Cochrane said. Have not found it yet. But for me, the panic began with Hank Paulson's speech of 19 September, 2008.

References

• This YouTube video may be the President's "scary speech"
  
• Here is the text of Paulson's speech.
  
• Wikipedia describes Paulson's 19 Sept 08 speech
  

Krugman rejects Cochrane's view as "the argument-from-authority thing" --

Source W says crisis.

Source W is authoritative.

Therefore, crisis is true.

No. Krugman has to be wrong about this. Anything can create a panic. President Bush's scary speech, or Treasury Secretary Paulson's scary speech, or both of 'em together in a one-two punch, that could create a panic.

It wouldn't work every day. It wouldn't work in a strong, healthy economy. But in an economy that's been going downhill for 40 years, an economy with irreparable problems, yeah. Scary talk could push us over the edge.

Point, Cochrane.