Skip to comments.CNBC's Santelli Warns U.S. 'Could End Up Worse than Japan' Facing a Lost Decade
Posted on 06/24/2010 1:22:34 PM PDT by Rufus2007
Fresh off his Tea Party cover story in the June 24 Weekly Standard, CNBC's Rick Santelli foresees what could be classified as an economic black hole for the United States of America.
On the network's June 24 broadcast of "Strategy Session," the CME Group reporter explained how the country could be headed down the same path and face the economic calamity the Japanese faced in what is known as the "lost decade." That period, from 1991-2000, was one which the Asian nation failed to grow economically despite countless efforts by the government to intervene. But as Santelli explained - the U.S. version of Japanese economic policies could result in Greek-style austerity measures.
"The notion that we are turning into Japan has been something talked about on this floor for probably a year and a half," Santelli said. "What changes though, is that it is now a toss up between Japan and Greece and trust me the eventual solutions or recommendations for avoiding the pitfalls of either are completely different strategies. A lot of Japanese say, More Keynesian, more stimulus, spend, spend, spend, spend, spend.' And the other side of the equation says, Well then, you are going turn into Greece.' Where does the truth lie? One thing I can tell you is, is that demographics are a big issue in this story as well. The Japanese have a demographic time bomb similar to the U.S. in terms of underfunded pensions and liabilities."
(Excerpt) Read more at newsbusters.org ...
..I’d be happy if Rick is right...what I see coming is a lot worse...economic collapse followed by social breakdown.
I agree. I think he meant Greece. The only upside is it may be the opportunity for revolution and to rid ourselves of the socialists once and for all. Until we forget the lessons of our Forefathers that is.
It’s amazing how fast 0bama is destroying this Country.
Our immigration policies are bringing in poor, uneducated, and unskilled people who will be a net drain on the society. Milton Friedman said, You cannot simultaneously have free immigration and a welfare state. We have both.
The bad news is that this plan involves a huge, long-term "economic stimulus" initiative based on massive immigration from all over the planet.
1. There are more sushi places around than you can shake a dead mackerel at.
2. Easier access to mass quantities of truly disturbing pornography.
3. Massive real estate losses.
4. Cartoons becoming more and more like anime, and girls trying to use makeup to look like anime freaks.
Our country is truly "turning Japanese."
Of course we would have to carve a moat around the entire country and make some sort of effort to keep out all the furreners if we really wanted to follow that path.
We're preparing for the worst here, and hoping for the best. But, I can't help but be pessimistic.
“[O]ur government is a free-for-all of dumb ideas.” - Rick Santellie
That comment got me too. Are those people just uninformed about that concept, or do they say that knowing the negatives, but ignoring it because it doesn’t fit their template?
The Vapors were ahead of their time.
Call it "The Stolen Decade."
Most of the immigrants here in the San Joaquin valley refuse to learn English, marry off their kids at 13 or accept an out-of-wedlock pregnancy at that age and another in a year. Overall, their “contributions” to the welfare state is limited at best. They do however “drain” the system. So Faber’s statement, racist as it is, is not true.
The current influx of poorly educated immigrants is the result of two factors: first, a legal immigration system that favors kinship ties over skills and education; and second, a permissive attitude toward illegal immigration that has led to lax border enforcement and non-enforcement of the laws that prohibit the employment of illegal immigrants. In recent years, these factors have produced an inflow of some ten and a half million immigrants who lack a high school education. In terms of increased poverty and expanded government expenditure, this importation of poorly educated immigrants has had roughly the same effect as the addition of ten and a half million native-born high school drop-outs.
As a result of this dramatic inflow of low-skill immigrants,
One-third of all immigrants live in families in which the head of the household lacks a high school education; andFirst-generation immigrants and their families, who are one-sixth of the U.S. population, comprise one-fourth of all poor persons in the U.S.
Immigration also plays a large role in child poverty:
Some 38 percent of immigrant children live in families headed by persons who lack a high school education;
One out of six poor children in the U.S. is the offspring of first-generation immigrant parents who lack a high school diploma
"Unless the life chances of children raised by single mothers suddenly improve, the explosive growth of the U.S. Hispanic population over the next couple of decades does not bode well for American social stability. Hispanic immigrants bring nearThird World levels of fertility to America, coupled with what were once thought to be First World levels of illegitimacy. (In fact, family breakdown is higher in many Hispanic countries than here.) Nearly half of the children born to Hispanic mothers in the U.S. are born out of wedlock, a proportion that has been increasing rapidly with no signs of slowing down. Given what psychologists and sociologists now know about the much higher likelihood of social pathology among those who grow up in single-mother households, the Hispanic baby boom is certain to produce more juvenile delinquents, more school failure, more welfare use, and more teen pregnancy in the future.
The government social-services sector has already latched onto this new client base; as the Hispanic population expands, so will the demands for a larger welfare state. Since conservative open-borders advocates have yet to acknowledge the facts of Hispanic family breakdown, there is no way to know what their solution to it is. But they had better come up with one quickly, because the problem is hereand growing.
The dimensions of the Hispanic baby boom are startling. The Hispanic birthrate is twice as high as that of the rest of the American population. That high fertility rateeven more than unbounded levels of immigrationwill fuel the rapid Hispanic population boom in the coming decades. By 2050, the Latino population will have tripled, the Census Bureau projects. One in four Americans will be Hispanic by mid-century, twice the current ratio. In states such as California and Texas, Hispanics will be in the clear majority. Nationally, whites will drop from near 70 percent of the total population in 2000 to just half by 2050. Hispanics will account for 46 percent of the nations added population over the next two decades, the Pew Hispanic Center reports.
But its the fertility surge among unwed Hispanics that should worry policymakers. Hispanic women have the highest unmarried birthrate in the countryover three times that of whites and Asians, and nearly one and a half times that of black women, according to the Centers for Disease Control. Every 1,000 unmarried Hispanic women bore 92 children in 2003 (the latest year for which data exist), compared with 28 children for every 1,000 unmarried white women, 22 for every 1,000 unmarried Asian women, and 66 for every 1,000 unmarried black women. Forty-five percent of all Hispanic births occur outside of marriage, compared with 24 percent of white births and 15 percent of Asian births. Only the percentage of black out-of-wedlock births68 percentexceeds the Hispanic rate. But the black population is not going to triple over the next few decades.
As if the unmarried Hispanic birthrate werent worrisome enough, it is increasing faster than among other groups. It jumped 5 percent from 2002 to 2003, whereas the rate for other unmarried women remained flat. Couple the high and increasing illegitimacy rate of Hispanics with their higher overall fertility rate, and you have a recipe for unstoppable family breakdown.The only bright news in this demographic disaster story concerns teen births. Overall teen childbearing in the U.S. declined for the 12th year in a row in 2003, having dropped by more than a third since 1991. Yet even here, Hispanics remain a cause for concern. The rate of childbirth for Mexican teenagers, who come from by far the largest and fastest-growing immigrant population, greatly outstrips every other group. The Mexican teen birthrate is 93 births per every 1,000 girls, compared with 27 births for every 1,000 white girls, 17 births for every 1,000 Asian girls, and 65 births for every 1,000 black girls. To put these numbers into international perspective, Japans teen birthrate is 3.9, Italys is 6.9, and Frances is 10. Even though the outsize U.S. teen birthrate is dropping, it continues to inflict unnecessary costs on the country, to which Hispanics contribute disproportionately.
Japan? More like Argentina.
"Be fruitful and multiply, fill the earth and subdue it."
I luv that quote. So true.
I confess...I had to look that up. I must be getting old.